XRP News Today: XRP Faces Crucial Support Test at $2.04 Amid Bullish and Bearish Scenarios

Crypto analyst Egrag Crypto has provided a detailed technical outlook for XRP, questioning whether the digital asset is poised for a retest of support levels or a bullish breakout. The analysis, shared on X (formerly Twitter), outlines critical price targets and conditions for both scenarios. If XRP fails to close a full daily candle above the $2.20 mark, the price behavior suggests that $2.08 and $2.04 could become key retest zones. These levels would represent areas where the price might find renewed buying interest if it initially struggles to push higher.

For a decisive bullish momentum, XRP needs to achieve full-bodied daily candle closes above several critical resistance targets. These levels include $2.20, $2.30, $2.34, $2.48, and $2.65. A sustained close above these points, particularly with strong candle bodies, would signal significant bullish strength, potentially indicating that “the next big move could be on the horizon.” However, the analysis also highlights an “Important condition” for maintaining a bullish outlook: XRP “must not close below any of these targets on daily time frame: $2.04, $1.90, and $1.71.” Should XRP close below any of these crucial support levels, Egrag Crypto strongly suggests “we’re heading into a bearish trend,” indicating a shift in market sentiment and potential downside pressure.

Traders and investors are likely to closely monitor XRP’s daily closes against these defined levels to gauge its next significant move. The market is closely watching these support levels to gauge the strength of the current bullish momentum. The market technician known on X as Dr Cat (@DoctorCatX) has published a post that condenses years of his XRP/BTC work into one number—2,041 satoshis—and a set of time-stamped price targets that reach as high as $30 per XRP once Bitcoin hits $270,000. The analyst breaks price action into five nested horizons—intraday, daily, weekly, monthly and quarterly—and assigns each its own decision-making role. The crux of the argument is that monthly price candles must be read in isolation from what he calls the “noise” of the lower frames if traders want to understand where serious accumulation or distribution is taking place. The bullish target is set at approximately $4–4.5, while the very bullish target is around $18–30. These levels are not merely numeric goals; they are the by-product of a ratio he views as structural. A monthly close below 2,041 satoshis would, paradoxically, increase his confidence in the “very bullish” path—but only “very long term (2026+),” because such a breakdown would probably trigger what he calls a flush toward 1,800, 1,500 or even 700 sats first. Conversely, a defense of that shelf preserves a less spectacular—but cleaner—advance toward 3,500 sats (~$4–4.50 at current six-figure Bitcoin prices) and keeps alive the 7,000-to-12,000-satoshi objective for the extended cycle top.

The thread’s most practical value may lie in its explanation of why no immediate weekly up-trend should be expected even in the “most bullish” scenario. Dr Cat points to classic Ichimoku conditions—Chikou Span under price, a downward-angled Kijun-sen and a bearish Tenkan/Kijun cross—arguing that history shows it can take “~26 weeks at least” for those signals to unwind. Any rally toward 2,700 sats in the next couple of months would therefore be viewed as a Kijun retest ripe for rejection rather than the start of a sustained breakout. The analyst also clarifies a point that has caused confusion among casual readers: his $270,000 Bitcoin estimate is a macro-cycle cap, not a near-term forecast. He explicitly states that he expects the current market cycle to “extend to 2026 and beyond,” which is why the loftiest XRP numbers sit at the far right of his timeline. Everything, he insists, flows from the ratio between the two assets, not from dollar-denominated targets considered in isolation.

An analyst has warned of a key XRP price zone acting as a trap due to weak structure and liquidity targets. As of the latest update, XRP trades at $2.02, marking a 2.65% change. This warning suggests that traders should be cautious about this price zone, as it could lead to a false sense of security and potential losses. The analyst's update highlights the importance of understanding the underlying structure and liquidity of the market when making trading decisions.

In summary, the current analysis of XRP suggests that the cryptocurrency is at a critical juncture. The successful retest of the $2 support level and the key price points of $2.08 and $2.04 are being closely watched by analysts. The long-term outlook, as presented by Dr Cat, indicates that a monthly close below 2,041 satoshis could lead to a significant drop, while a defense of this level could pave the way for substantial gains. Traders are advised to be cautious and consider the underlying structure and liquidity of the market when making decisions.