XRP Faces Critical Test: Bulls Must Reclaim $1.16 to End Bearish Trend
XRP is approaching a pivotal moment after successfully defending its first major support level, but technical indicators suggest the correction may still have further to run.
According to market researcher More Crypto Online, the broader market structure remains bearish unless bulls can reclaim key resistance levels and shift momentum decisively.
Currently, CoinCodex data shows XRP trading at $1.06, keeping it above the crucial $0.98-$0.99 support zone. While buyers have prevented a sharper decline, the market researcher notes that holding support alone is not enough to confirm a sustainable trend reversal.
Based on Elliott Wave analysis, More Crypto Online's primary outlook still favors additional downside. The $0.98-$0.99 range remains the first major demand zone, but the bearish structure stays intact unless XRP breaks convincingly above $1.16.
Such a move would provide the first technical confirmation that a larger Wave 2 recovery is underway, signaling renewed bullish momentum.
Even if XRP manages a near-term bounce, stronger resistance awaits between $1.27 and $1.42.
Why is this the case? Well, this range is a critical supply zone where sellers could re-enter the market. Failure to overcome this barrier would reinforce the view that any rally is merely a temporary relief bounce rather than the beginning of a sustained uptrend.
XRP Faces Defining Moment as $1.16 Breakout or $0.74 Drop Looms
The downside risks remain significant. A decisive break below the $0.98-$0.99 support zone could trigger another wave of selling, exposing XRP to a decline toward $0.74, the next major support identified by More Crypto Online. If this happens, it could mark a deeper corrective phase before the market has an opportunity to establish a stronger foundation.
Currently, XRP remains at a technical crossroads because bulls have successfully defended the first line of support but have yet to generate the buying pressure needed to invalidate the bearish outlook. As a result, market participants are closely watching whether XRP can reclaim $1.16 or lose its footing below support, either of which could determine the token's next major move.
Nevertheless, all hope is not lost thanks to XRP's historical tendency to perform well in July, a month that has often produced some of its strongest gains. This seasonal pattern offers bulls a potential tailwind, but until key resistance levels are reclaimed, the broader technical outlook continues to favor caution despite the possibility of a short-term rebound.
