XRP Stabilizes at $2.99 as Traders Watch $3.04 Resistance and $3.50 Breakout Potential
- XRP trades at $2.99 after a 1.4% 24-hour decline, holding support at $2.98.
- Resistance at $3.04 continues to limit short-term recovery attempts.
- A breakout above $3.50 could trigger liquidations, pushing prices toward $5.
XRP is now clustering around an important level following a planned fall in the recent sessions. The share is traded at $2.99 which signifies a negative change of 1.4% in the past 24 hours. These developments are under a close watch by the market since the cryptocurrency is still floating close to support, with the liquidation risks on both sides of the resistance growing higher.
Analysts highlight that once the price surpasses the $3.50 mark, short positions could face significant pressure, possibly extending liquidations toward the $5 range.
Consolidation Near Key Support Levels
The short-term support level is at $2.98, and here XRP has always gotten a footing throughout the intraday movement. Through price action, one can see that the token is stable in a given range during a period of 24 hours and that the lows have been capped at $2.98 and the highs are capped at around $3.04.
This small span highlights a lack of volatility as compared to the past. The current consolidation is associated with a risk-averse climate, where both the acquirers and acquired are concerned with price lines that are key.
Resistance Zone Caps Short-Term Recovery
Resistance has formed at $3.04, preventing upward momentum from establishing a broader recovery. Each approach toward this level has faced selling pressure, forcing price retreats back toward the lower end of the range. Notably, these repeated failures highlight the market’s sensitivity around resistance. However, beyond $3.50, liquidation heatmaps indicate a cluster of short positions, which could trigger a rapid upward extension if breached decisively.
Market Reaction to False Breakouts
Price behavior has already recorded several false breakouts in prior sessions, with swift reversals once resistance zones were tested. These trends indicate that participants in the market are still hesitating, despite the rise of RSI levels.
The consolidation of the market between $2.98 and $3.04 is decisive according to market watchers towards short term direction. A break of the current range would probably determine the further course of the movement as the reaction around $3.50 will influence the further one.
The behavior of XRP between the support of $2.98 and the resistance of $3.04 shows that the market is alert, whereas the decisive point is $3.50 which might result in the transition of the consolidation on the more powerful momentum.
