Will the Price Hold Support at $2.06?

• XRP holds above $2.06 support, but a drop below $2.04 may trigger deeper losses.
• Resistance at $2.13 caps rallies, with bulls needing a breakout to reverse momentum.
• MACD and RSI indicators hint at early bullish momentum, but confirmation remains lacking.

XRP continued to show signs of weakness as the price struggled to regain upward momentum, trading at $2.08 with a 1.98% decline over the last 24 hours. The chart reflected a noticeable short-term downtrend, defined by consistent lower highs and lower lows. 

A brief rally attempt earlier failed as sellers regained control, suggesting cautious bearish sentiment heading into April 23rd, keeping traders focused on key support levels.

Key Support Near $2.06 Holds for Now

XRP’s recent pullback brought significant attention to the $2.06 level, which repeatedly held up throughout the trading session. Buyers appeared active near this price, attempting to stabilize the decline. 

Moreover, the broader support range between $2.04 and $2.05 marked the lowest intraday dip, followed by a minor recovery. This zone may serve as a crucial floor if bearish pressure continues. However, a breakdown below $2.04 could expose XRP to deeper losses, possibly triggering stops and extending the decline.

Related: XRP Bullish Setup Meets Bearish On-Chain Signal: What Gives?

Resistance Around $2.11-$2.13 Caps Upside

On the upside, rally attempts met strong resistance near the $2.13 local peak before reversing. The $2.11-$2.12 range also repeatedly rejected recovery efforts, reinforcing seller dominance there. 

A convincing, volume-supported break above $2.13 is likely required to shift short-term sentiment bullishly; until then, rallies face strong headwinds near this resistance cluster.

Indicators Hint at Potential Momentum Shift

Technical indicators currently offer mixed signals, though hinting at a potential bottoming process.

MACD analysis showed the MACD line slightly below the signal line, with values at -0.032 and -0.048, respectively. However, both lines were flattening and gradually turning upward, while the histogram turned green and started increasing. This development hinted at a possible momentum shift, though not yet confirmed. 

Related: XRP Spot Volume Drops 25%, Options Open Interest Plunges 53%: What’s Happening?

Meanwhile, the RSI hovers near 48.15 (just below neutral 50) but is rising steadily; a push above 50 could indeed support a short-term recovery effort.