The XRP price has recently dropped more than 10%, slipping below the $3 mark amid a broader crypto market downturn. This sharp correction has sparked renewed speculation about a potential fall to $2, fueling debates across investor circles. Despite short-term bearish signals, however, a growing number of market experts continue to express strong long-term confidence in Ripple’s native cryptocurrency. In this analysis, we explore the factors driving current volatility, examine expert forecasts, and unpack why seasoned analysts remain bullish on XRP’s future.
Why Is XRP Price at Risk of Dropping to $2?
XRP’s recent price decline—down over 10% in a single day—has placed it under intense scrutiny. Trading at approximately $2.81, the asset is now testing key support levels. Several technical analysts have pointed to the $2.00 level as a possible retracement zone, particularly if selling pressure persists.
One prominent market analyst, EGRAG CRYPTO, identified $2 as an “equilibrium” level where XRP could stabilize following a steep correction. While this suggests a temporary dip may be on the horizon, it's important to note that such retracements are common after rapid price surges. In fact, EGRAG CRYPTO still maintains a bullish outlook, anticipating that once the consolidation phase ends, XRP could rebound toward $3.30 and eventually target $5.00.
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This pattern reflects a classic market cycle: volatility followed by consolidation, then renewed momentum. For long-term investors, dips like these may represent favorable entry points rather than reasons for panic.
Expert Confidence in XRP’s Long-Term Trajectory
Despite short-term turbulence, many industry leaders remain optimistic about XRP’s fundamentals and future potential.
Ben Armstrong, widely known in the crypto space as The BitBoy, recently commented on the price dip, noting that “XRP has never sustained these prices before.” He emphasized that the coin maintaining above $3 for several weeks signals strong market resilience. Armstrong views the current pullback as a buying opportunity and believes the $3 level could now serve as new foundational support.
This sentiment aligns with broader technical indicators. The Relative Strength Index (RSI) for XRP currently sits at 50, indicating neutral market sentiment—neither overbought nor oversold. Meanwhile, trading volume has surged by 225%, reaching $10.25 billion, suggesting heightened interest and active positioning among traders ahead of major macroeconomic events, such as the upcoming Federal Reserve interest rate decision.
High volume during corrections often indicates distribution or accumulation phases—where institutional players may be quietly building positions. This dynamic reinforces the idea that the current dip could be temporary rather than the start of a prolonged bearish trend.
Ripple vs. Bitcoin Maximalists: A Growing Tension
Market movements aren't always driven purely by numbers. Sentiment and community dynamics play a crucial role—especially in the highly social crypto ecosystem.
Recently, tensions have escalated between supporters of Ripple (often referred to as the "XRP army") and Bitcoin maximalists. The conflict intensified after former U.S. President Donald Trump hinted at the possibility of a national U.S. Crypto Reserve, rather than a Bitcoin-only strategic reserve. This opened the door to speculation that XRP could be included in future government-backed digital asset holdings.
In response, some Bitcoin advocates launched vocal criticisms against Ripple, its CEO Brad Garlinghouse, and the wider XRP community. Legal expert Bill Morgan highlighted this infighting on social media, observing:
“Bitcoin Maxis and the XRP army have been hammering each other for three days and the price of XRP and bitcoin have barely moved during that period.”
While social media battles don’t directly impact prices, they can influence short-term sentiment and contribute to increased volatility. It's worth noting that the broader crypto market also experienced a correction around the same time, affecting Bitcoin and top altcoins alike—suggesting macro factors are playing a significant role.
Is a Major XRP Price Move Imminent?
Technical signals suggest that a significant price movement could be on the horizon.
Market analyst Ali Martinez recently pointed to tightening Bollinger Bands on XRP’s daily chart—a classic sign of decreasing volatility that often precedes sharp price breakouts. When Bollinger Bands contract, it typically means the market is coiling before a strong directional move, either upward or downward.
Martinez’s warning urges investors to prepare for increased volatility in the coming days or weeks. Given XRP’s history of explosive rallies following consolidation periods—especially during favorable regulatory developments—this setup could favor a bullish breakout if positive catalysts emerge.
Key upcoming catalysts include:
- Final rulings or progress in the long-standing SEC vs. Ripple lawsuit
- Expansion of Ripple’s real-world payment partnerships
- Regulatory clarity in major markets like the U.S. and EU
Any of these developments could act as triggers for renewed investor confidence and upward momentum.
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Frequently Asked Questions (FAQ)
Q: Could XRP really drop to $2?
A: Yes, technically possible. Analysts cite $2 as a potential support zone during corrections. However, most experts believe this would be temporary, followed by recovery if fundamentals remain strong.
Q: Why are experts still bullish on XRP despite the drop?
A: Long-term optimism stems from Ripple’s growing adoption in cross-border payments, ongoing legal progress, and increasing institutional interest—all of which support sustainable value growth beyond short-term price swings.
Q: What technical indicators suggest a big move is coming?
A: The Bollinger Band squeeze on the daily chart signals low volatility and high probability of an imminent breakout—either up or down—making it a critical moment for traders and investors.
Q: How does market sentiment affect XRP’s price?
A: Sentiment plays a major role in crypto markets. Social media conflicts between communities (like Bitcoin maxis vs. XRP supporters) can amplify fear or greed, influencing short-term trading behavior even without fundamental changes.
Q: Is now a good time to buy XRP?
A: Many analysts view current levels as attractive for long-term accumulation, especially near key support zones like $2.80–$3.00. As always, investors should conduct their own research and consider risk tolerance before entering any position.
Q: What event could trigger the next major XRP rally?
A: A favorable resolution in the SEC lawsuit or official adoption of Ripple’s technology by major financial institutions could serve as strong catalysts for upward movement.
With both technical and fundamental indicators pointing toward an impending shift, XRP stands at a pivotal juncture. While short-term risks exist—including a possible slide to $2—the underlying momentum and expert sentiment suggest stronger days may lie ahead.
Whether you're a long-term holder or actively trading, staying informed and prepared for volatility is essential. As history shows, some of the best investment opportunities arise during moments of uncertainty.
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