XRP News Today: XRP Drops 9% After SEC ETF Delay, Faces Bearish Pressure

The price of XRP has experienced a significant decline, falling by 9% following the delay in the approval of an exchange-traded fund (ETF) by the U.S. Securities and Exchange Commission (SEC). This drop has brought the price of XRP close to the $1.80 support level, raising concerns among investors about further potential declines.

XRP, the cryptocurrency associated with Ripple, has been struggling to break through a key resistance zone between $2.27 and $2.30. This resistance level has been a significant barrier for XRP, with the price facing five consecutive rejections since May 29. The most recent rejection occurred on June 16, when short-term buyers reacted to the news of the launch of an XRP ETF in Canada. However, this uptrend failed to sustain, indicating that sellers are placing their orders at these price levels. Until XRP can clear this resistance, it remains under bearish pressure and risks falling below the psychological support of $2.

Technical analysis further supports the bearish outlook for XRP. A bearish head and shoulders pattern has emerged on the daily timeframe, which typically signals an impending reversal to the downside. The neckline of this pattern lies at $2.12, and a decisive close below this level could trigger a 19% crash, potentially pushing the price below $1.80 and towards the target of $1.70. The Simple Moving Average (SMA) indicators also align with this bearish case, as XRP continues to fluctuate below the 50-day SMA level of $2.27. The price has faced strong resistance here for three weeks, and movements below the 200-day SMA confirm the long-term bearish outlook.

Despite the bearish technical indicators, there are several macro factors that could potentially draw buyers back into the market. The approval of a spot XRP ETF in Canada, set to go live on June 18, increases the odds that the U.S. SEC could follow suit. Additionally, the final vote on the GENIUS stablecoin Act on June 17 could increase interest in stablecoins like RLUSD, potentially driving XRP price gains. These bullish catalysts could provide support for XRP and aid in a recovery, although the near-term outlook remains bearish with the risk of a crash to $1.80.

Looking at XRP’s daily price chart, the market currently shows weak momentum in both directions. The price action remains choppy and range-bound, stuck between $2.10 and $2.35 for now. Unless the price breaks out of this range, traders expect XRP to continue moving sideways in the short term. Important support levels to watch are between $2.10 and $2.05. If XRP falls below this range with confirmation, the next support lies between $1.95 and $1.91, followed by $1.80. On the bullish front, resistance is seen around $2.32 to $2.36. A clear move above this could open the door for a rally towards $2.44 and $2.60.

Despite the recent dip, XRP has been in an uptrend since April’s low. There’s still hope for a fifth wave rally that could push XRP prices above $5 in the long run, but for that to happen, XRP needs to hold support levels and break above recent highs. In the short term, unless XRP can climb past $2.33 and form a clear bullish pattern, the price is expected to remain range-bound, with traders keeping a close watch on whether the market finds a stable support zone soon.

The SEC’s decision delay has clearly shaken the market, and while long-term bullish hopes remain alive, XRP is currently struggling for momentum. Until a clearer move happens, traders can expect more sideways price action in the coming days.