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Ripple’s $XRP is currently down by more than eight percent in the last 24 hours and is trading near the $2.33 levels. The price has rallied 60 percent in the last seven days and according to analyst Josh of Crypto World, $XRP is in a strong bullish trend on the larger time frames despite encountering resistance.
The analyst also observed that $XRP failed to follow through on a breakout past the $2.80 level, which acted as a short-term resistance. After a brief push higher, the price quickly rejected, breaking back down.
Major Resistance Around $3
$XRP has encountered significant resistance near the $3 level, a crucial psychological point and also a Fibonacci extension. $XRP’s all-time high ($ATH) is just slightly above $3, around $3.30. This makes the $3 mark an even more critical point for the price action since it’s very close to the $ATH. Typically, when the price approaches an $ATH, it tends to face resistance due to the historical significance of that price point.
Short-Term Pullback
$XRP has faced a small pullback after reaching the $3 resistance. This is normal in bullish markets, and it doesn’t mean the market is turning bearish. Short-term pullbacks can happen even during larger upward trends.
Given the rejection at $3 and the current price behavior, it’s possible we could see a deeper pullback in the short term. A pullback could test lower support levels, such as $2.50 or even $2.30, providing a better entry point for those looking to re-enter long positions.
Sustained Bullish Trend:
However, despite short-term fluctuations, the long-term outlook remains bullish. $XRP is still in a broader upward trend, and these pullbacks could provide opportunities for traders to accumulate more positions at favorable prices.