Since the beginning of February, XRP has not gone beyond the $2.30–$2.76 corridor, which indicates a balance between sellers and buyers. However, the situation is gradually changing: the Chaikin Money Flow (CMF) indicator fell below zero and recorded a value of -0.04. This indicates a decrease in investor interest and capital outflow, which increases the likelihood of a support breakout downwards.
An additional bearish signal is the position of XRP relative to the 20-day exponential moving average (EMA). At the moment, the token is trading below this line, which indicates the dominance of sellers in the market and increases the risks of further decline.
At the time of writing, XRP is trading at $2.47, having fallen by 3.7% in a day. If the price drops below the key level of $2.30, we can expect the downward trend to continue with possible targets at $2.13 and $1.48.
However, the growth in demand for the token can change the situation. If buyers increase their activity, XRP will be able to test the resistance of $2.76 and potentially target the historical maximum of $3.41.