Analyst warns of a key XRP price zone acting as a trap due to weak structure and liquidity targets.

As of today, XRP trades at $2.02, marking a 2.65% decline in the last 24 hours and an 8.35% drop over the past seven days. Yet, an analyst warns that the broader setup may point to deeper structural weakness rather than a reversal.

Analyst Flags Technical Weakness on XRP Chart

A market analyst, Arthur, emphasized several structural concerns surrounding XRP’s recent price behavior. Despite optimism from some traders who viewed the move above the long-term downtrend as a breakout and a journey to a new all-time high, the analyst argued that the current formation lacks a solid technical base. 

🚨 While most are screaming “BREAKOUT” and calling for a new ATH on $XRP…

Here’s why I remain extremely cautious and why $1.30 could be a trap, not a bounce zone.👇 pic.twitter.com/f3yD8UPeV0

— Arthur (@XrpArthur) June 22, 2025

According to this view, the $1.30 level, which previously acted as resistance ahead of XRP’s rally to $2.90 in December 2024, remains an important area of interest.

Notably, the analyst identified $1.30 as a liquidity pool where the market could sweep late long positions before any genuine upward momentum returns. The analyst pointed to the absence of confirmation in the current move, noting that market makers tend to target such zones before allowing price to climb. 

Meanwhile, he identified a preferred re-entry point for a potential long position between $1.05 and $1.10, an area that could offer cleaner structural support.

The analyst cautioned traders to mentally prepare for a potential drop, even if it doesn’t materialize, emphasizing a strategy focused on areas of maximum pain rather than following crowd-driven moves. According to him, he prefers targeting deeper price zones where others are less likely to act.

Broader Macro Conditions Weigh on Sentiment

Beyond technical factors, the analyst also cited macroeconomic and geopolitical concerns as contributing to a bearish outlook. He mentioned uncertainties stemming from ongoing conflicts—including tensions between Iran and Israel, and the Russia–Ukraine war—as key risks. Additionally, he highlighted delays in regulatory clarity and the unresolved status of the Ripple case as deterrents for institutional capital inflows.

Furthermore, he noted that summer market conditions boast historically low liquidity, making them more susceptible to manipulation. He listed these seasonal patterns alongside frozen ETF flows and overall market hesitancy among the reasons for traders to approach current XRP levels with caution.

Teucrium CEO Highlights Long-Term Use Case for XRP

Despite prevailing caution, Sal Gilbertie, CEO of Teucrium, pointed to continued demand for XRP-linked investment vehicles. 

During a recent interview, Sal Gilbertie highlighted increasing interest in investment products tied to XRP. He observed that several market participants believe XRP holds the potential to deliver stronger long-term returns than Bitcoin.

Market veteran Peter Brandt has identified a potential head and shoulders pattern on the weekly XRP chart, pointing out what could set it off.

XRP finds itself at a critical point after a sharp drop tied to global tensions. The broader crypto market took a hit when the United States launched airstrikes on several nuclear facilities in Iran, escalating the ongoing Iran-Israel conflict. 

As of now, XRP trades around $2.03, sitting in a fragile spot. At this position, veteran trader Peter Brandt pointed to a possible Head and Shoulders (H&S) pattern on the one-week chart, a structure that often leads to a shift to bearish momentum. 

XRP Could Confirm the H&S if It Closes Below $1.8

Notably, he identified the sharp dip to $1.61 on April 7 and chose to treat it as an anomaly caused by heightened volatility rather than part of the pattern. When one removes this outlier, the H&S structure looks more intact and consistent.

For perspective, the pattern started forming at the end of last year. Specifically, the left shoulder formed in December 2024, when XRP hit $2.9 and corrected. Meanwhile, the head formed in January 2025 amid the higher surge to $3.4. The right shoulder formed during the rise to $2.65 in May 2025.

Importantly, a solid horizontal neckline sits at $1.875, and XRP currently trades just above that level. Brandt stressed that this doesn’t automatically mean the price will drop. However, he plans to re-evaluate his stance if XRP closes below the $1.80 range on the weekly chart. This move could confirm the pattern and invite deeper losses.

Several indicators support that the market is in a state of indecision. For instance, the 8-week and 18-week exponential moving averages have flattened and now run close together, showing fading momentum. 

The ADX, which tracks trend strength, sits at a soft 16.41, well below the threshold for a strong trend. Meanwhile, the Average True Range reads 0.486, indicating that volatility has cooled down. When price action tightens like this, it often leads to a big move in either direction.

Analysts Remain Positive on XRP

As XRP maintains this position, multiple analysts are also discussing its potential direction. CryptoInsightsUK focused on the liquidity building up around $1.87 and predicted that XRP might dip slightly below that level to shake out weak hands. 

Looking at $XRP 4HR liquidity.

I would expect we take the liquidity around $1.87.

Whether we get the $1.72 I don't know, I think that would be an absolute blessing entry.

Important to now look up above us and see how dense that liquidity has become. We do go up and it will be… pic.twitter.com/Mtl3o7pK03

— Cryptoinsightuk (@Cryptoinsightuk) June 23, 2025

He mentioned that if XRP dropped as low as $1.72, it could present an ideal buying opportunity. At the same time, he urged traders to watch the liquidity sitting above current levels, suggesting that any upward move from here could trigger a strong rally.

In an earlier report from The Crypto Basic, analyst EGRAG said XRP successfully tested a major support zone, which he calls the “white box” during the latest downward push. EGRAG sees this development as a bullish sign. 

He presented two likely paths: either XRP continues correcting or it bounces toward new highs. He also warned that if XRP fails to reclaim the $2.08 level, it could slide to $1.90 or even $1.77. If the market turns more bearish, $1.47 might serve as the next key support level.

A top market analyst has updated the XRP community on the next course of action for XRP following a successful retest of the crucial $2 support level.

XRP dumped below $2 for the first time since April 11, reaching an intraday low of $1.9 on Sunday. The capitulation followed a broader market trend as the geopolitical tension in the Middle East escalated.

Analyst Foresaw Retest

Top analyst EGRAG Crypto pointed to his earlier analysis in a Sunday X post, where he predicted the retest. He drew the community’s attention to a June 13 tweet in which he stated that XRP could drop into a white box area on a chart accompanying the analysis.

For context, he shared in the commentary that the $2.20 support was crucial to preventing lower prices for XRP. If it failed to close above the support level, the market watcher predicted a retest of the $2.08 area and possibly the $1.90 demand zone.

Support Successfully Retested

Most recently, EGRAG identified that XRP has successfully tested the white box, as he predicted. While many may be panicking, he suggested that this is bullish for XRP, as it has established the macro-support as a stronghold.

Furthermore, the analyst shared an updated chart, presenting two scenarios for XRP, which could either lead to further corrections or spark a rebound to new highs. He also identified a zone that would determine the direction XRP would take next.

For perspective, EGRAG suggested that if XRP fails to reclaim the $2.08 macro support, it could continue to consolidate downwards, retesting $1.90 and possibly $1.77. An accompanying chart indicates that XRP could drop even further, with support at $1.47 being crucial to its near-term upward trajectory.

Here’s the Good News

However, EGRAG highlighted that a close above $2.08 on the 12-hour timeframe, with further confirmations on higher timeframes, would spur an upside run. According to him, the quick rebound would indicate that bulls are aggressively stepping in, a propellant for higher prices.

Meanwhile, the analyst shared crucial breakout zones for XRP’s rebound. First, XRP would need to reclaim the $2.30 to $2.33 price zone, aligning with the upper trendline of an identified descending triangle.

Further, EGRAG identified the $2.65 price mark as the “macro signaling level,” which a close above would spark a full bullish run. Interestingly, the analyst had earlier predicted a surge to unprecedented prices if XRP regained bullish momentum, forecasting prices of $13, $17, and $27.

In the meantime, XRP trades at $2.00, down 2.37% in the past 24 hours.

XRP may be warming up for a strong price rally, with market analyst EGRAG pointing to a mix of technical tools that could drive it to two digits. 

In his latest analysis, EGRAG tied together three charts using the Kangaroo Technique, the Gaussian Channel, the 21-week Exponential Moving Average (EMA), and Elliott Wave Theory. His analysis presented how these indicators all point toward an ongoing consolidation that may soon flip into an uptrend.

The Gaussian Channel, Kangaroo Technique, and 21 EMA

EGRAG’s first chart shows XRP holding above the top line of the Gaussian Channel, currently at $1.75. He sees this price level as critical. If XRP stays above it on a weekly close, it keeps the bullish trend alive. However, a close below that line could signal the start of a deeper pullback. 

On the same chart, EGRAG placed kangaroo icons to mark other important zones: one near $0.06 and another around $3.40. Notably, the kangaroo icon at the $0.06 zone in 2017 aligned with a launchpad to the $3.8 all-time high later that year. 

Notably, the appearance of another kangaroo icon at the recent $3.4 high suggests this price could also serve as a launchpad. EGRAG also highlighted the 21 EMA, which appears just below the current price and confirms a bullish tone as long as XRP doesn’t fall under it. 

Further, he mentioned a pattern from 2017 that shows a buildup before the breakout to $3.8 in January 2018. According to him, XRP could repeat this pattern if a breakout occurs in July. However, if XRP fails to rally in July, he believes the market may move sideways for up to 110 days.

XRP Elliott Waves Eye $10 Target

Meanwhile, in the second chart, EGRAG pointed to $2.33 as the next major resistance just above the EMA. Specifically, if XRP crosses that level, the bullish momentum could strengthen. He also identified $2.65 as a breakout trigger, calling it the “go-go signal.” A weekly close above that line would confirm a firm move upward. 

Despite the recent drop amid the market-wide collapse, XRP still holds the $2 price support, which keeps it well above the key $1.75 level. EGRAG sees this recent dip as part of normal volatility but warns that slipping below $1.75 could damage the setup.

Notably, the third chart uses Elliott Wave Theory to highlight XRP’s current position. EGRAG believes XRP sits in Wave 5 of a larger cycle, which typically marks the final push upward. He calculated a potential 477% gain based on Fibonacci extensions, which places the next big target between $9 and $10. 

He based this on the combined strength of Waves 1 and 3, applying the 61.8% ratio to estimate Wave 5. While EGRAG names $10 as a near-term peak, he also hints at a possible stretch to $27 if momentum continues.

Still, there are some risks. XRP must hold the $1.75 level to maintain its bullish structure. If the token fails to break higher before the end of July, the market may abandon the current pattern and slide into another long period of sideways movement. 

However, in the short run, traders should watch for XRP to reach $2.33 and then $2.65. Those two levels could confirm the beginning of a strong rally. If the support holds and XRP breaks past resistance, the road to $10 may begin.