XRP Faces Potential 30% Crash as Bearish Pattern Emerges

Critical Support at Risk—Will XRP Bulls Hold the Line?

The price of XRP, the third-largest cryptocurrency by market cap, is at a crossroads, with a looming bearish pattern threatening to send it spiraling downward. After months of volatile price action, technical analysts have identified a head and shoulders formation on XRP’s price chart—a classic indicator of a potential major downturn.

What’s Behind the Bearish Signal?

For those unfamiliar, a head and shoulders pattern consists of three peaks, where the middle peak is the highest, flanked by two lower ones. The key level to watch is the "neckline," a crucial support zone. If the price falls below this neckline, it often triggers a sell-off, with a potential drop equal to the size of the middle peak’s prior rally.

Currently, XRP’s neckline sits at the $2 level. If this bearish setup plays out, the price could tumble by as much as 24%, pushing XRP down to $1.50. This scenario, while not guaranteed, is now a very real possibility.

How Low Could XRP Go?

A breakdown of the neckline wouldn't necessarily lead to an immediate crash. Instead, traders can expect a retest of this support zone. If bulls fail to defend it and no strong buying momentum emerges, the next key support level near $1.50 may come into play. However, there is also the possibility that XRP stabilizes at the neckline, preventing further declines and keeping bullish hopes alive.

A Make-or-Break Moment for XRP

XRP has surged over 500% in recent months, making it ripe for a correction. If the bearish scenario unfolds, it could erase recent gains and dampen expectations for another rally. The coming days will be crucial, as traders watch to see whether XRP holds its ground or succumbs to selling pressure.

For now, all eyes remain on the $2 support level. If it holds, XRP bulls might just have a fighting chance. If not, a deeper drop could be imminent.