Ripple (XRP) Price Stabilizes Above $2 Amid Market Uncertainty

Ankit puri5 hours ago

: XRP Holds Steady Despite Market Sell-Off

Ripple (XRP) price stabilized above the $2.10 mark on March 9 as the broader crypto market faced renewed selling pressure following the latest U.S. Non-Farm Payrolls (NFP) report. The latest XRP liquidation data reveals a crucial bearish leverage cluster that could determine the next major price move. Despite a sharp decline, bullish traders have managed to keep XRP afloat, preventing a deeper breakdown.

XRP Price Action and Market Dynamics

XRP found strong support at the $2 level after dipping to $2.08 over the weekend, marking a 22% decline within 48 hours. However, buyers stepped in, helping the token rebound to $2.17 at the time of writing. The broader crypto market has been affected by capital outflows due to inflation concerns and rising bond yields. The U.S. 10-year Treasury yield surged to 4.3%, its highest level since November 2023, signaling a shift in institutional funds toward fixed-income securities.

The ongoing impacts of global tariffs and macroeconomic uncertainties could bring further volatility to the crypto market in March. If selling pressure persists, XRP’s resistance battles will be crucial for traders looking for a bullish recovery.

Bearish Leverage Positions Weigh on XRP

Bearish Traders Dominate XRP Derivatives Market

XRP’s price action has been heavily influenced by market sentiment surrounding Donald Trump’s economic policies. While Bitcoin has seen heightened volatility, XRP traders have also adjusted their positions in anticipation of further regulatory shifts.

According to Coinglass data, bearish traders currently dominate the XRP derivatives market. Over the past 30 days, total long leverage positions amounted to $114 million, while short leverage stood at $372 million. This means bearish sentiment has accounted for approximately 76.5% of leveraged positions, reflecting trader caution regarding Trump’s policies and their potential impact on XRP prices.

Key Resistance Levels and Liquidation Risks

A closer look at the liquidation map reveals that of the active $372 million in short contracts, a significant $297 million is concentrated at the $2.70 mark. This level represents a major hurdle for bulls in the next recovery phase. If XRP approaches $2.70, bearish traders may increase short positions or trigger liquidations to suppress upward momentum, creating a strong resistance zone.

For traders with a low-risk appetite, waiting for a confirmed breakout above $2.70 before entering major long positions could provide a safer entry strategy. A decisive move above this resistance would indicate a shift in market sentiment, potentially setting the stage for a sustained bullish rally.

XRP Price Forecast: Resistance at $2.70 as Bears Maintain Control

XRP remains under pressure, struggling to hold above $2.18 after a 20% decline in the past two days. The chart reveals a decisive breakdown from its previous consolidation range, with the upper Donchian Channel boundary at $2.99 acting as a significant resistance level. The midline at $2.47, now breached, suggests a shift in market structure that could make further downside likely unless bulls reclaim higher ground.

Technical Indicators and Market Sentiment

RSI: The Relative Strength Index (RSI) at 43.23 signals weakening momentum, hovering just above oversold conditions. A continued drop below 40 could invite further selling pressure, potentially testing support at $1.95.
Volume: A volume spike to 809 million in the past two days suggests increased participation, yet the dominance of red candles indicates bearish control.
Key Levels: If XRP reclaims $2.47, it could be the first bullish confirmation. The $2.70 level remains a critical hurdle due to leveraged short positions.

Should XRP fail to reclaim $2.47 quickly, the likelihood of another leg down remains high. However, a break above $2.70 could trigger short liquidations, fueling a rally toward $2.99.

: XRP Faces a Pivotal Moment

Ripple’s price remains in a fragile position, with bearish traders maintaining control over leveraged positions. While the $2.10 support has held firm, sustained buying pressure will be necessary to break key resistance levels. If bulls can push XRP above $2.70, it could mark the beginning of a significant recovery. Until then, traders should remain cautious as macroeconomic factors continue to influence the market.