![Potential bearish pattern in Ripple's [XRP] price movement could potentially lead to a drop down to...](/en/content/images/size/w1280/format/webp/20250805143555_inverted-cup-and-handle.jpeg)
Ripple's XRP Token Facing Potential Price Slide to $2.60 Due to Bearish Trend
In the cryptocurrency market, Ripple (XRP) is currently experiencing a mix of bearish and bullish sentiments. According to recent data from CoinGlass, traders continue to bet strongly on the bearish side for XRP, with the major liquidation levels at $2.89 on the lower side and $3.07 on the upper side.
At press time, XRP is hovering near $2.937, showing a mild 0.70% gain over the past 24 hours. However, the asset's formation of a bearish Inverted Cup and Handle pattern near $2.95 on the daily chart suggests a potential dump ahead.
Despite this bearish short-term trend, the long-term outlook remains bullish. The Inverted Cup and Handle pattern, combined with XRP reclaiming key resistance levels above $3 and moving toward new yearly highs, supports projections of aggressive price growth.
Technical analysis indicates that XRP has formed a strong bullish setup, which is often interpreted as a continuation or breakout signal pointing to upward momentum. This pattern, along with the improving legal situation of Ripple vis-à-vis the SEC and adding regulatory clarity, underpins investor confidence.
Moreover, strong exchange outflows—meaning more XRP is being withdrawn from exchanges—suggest increased investor accumulation and reduced selling pressure, a positive indicator for price appreciation. Although specific outflow data was not detailed in the current search results, growing optimism in the market regarding Ripple’s regulatory clarity typically correlates with such on-chain metrics.
Short interest dynamics further influence bullish sentiment. If short interest is declining or being squeezed, it can accelerate upward price moves due to forced short covering. While detailed short interest numbers are absent from the retrieved documents, the aggressive bullish forecasts, including predictions by analysts expecting XRP prices rising to $6–$8 or even $9 by early September, implicitly reflect a market with building positive momentum overcoming bearish pressures.
Key supporting factors include machine learning and technical analysis forecasts projecting prices in the $5.50 to $8 range by late August 2025, anticipation of a potential parabolic surge, with XRP likely to break $6 to reach new all-time highs, doubling or more from current levels near $3.
Overall, the combination of the bullish Inverted Cup and Handle pattern, anticipated reduced selling via exchange outflows, and possibly declining short interest sets the stage for a strong XRP rally in the short to medium term, assuming current market and legal conditions persist or improve.
However, if bulls fail to defend the $2.95 level, the price of XRP could slide by nearly 13%, targeting the next support zone near $2.60. Long-term holders may be accumulating XRP during the price dip, as suggested by the exchange outflows.
It's important to note that despite recent volatility, the data from CoinGlass does not indicate a price bubble for Bitcoin.
[1] Source: CoinGlass [2] Source: Various analyst reports [3] Source: Machine learning and technical analysis forecasts
- In the cryptocurrency market, the technical analysis of Ripple (XRP) indicates a strong bullish setup, potentially pointing to an upward momentum, based on the formation of an Inverted Cup and Handle pattern near $2.95 on the daily chart.
- Despite the bearish short-term trend for XRP, the trend remains bullish in the long-term, as the asset has reclaimed key resistance levels above $3 and is moving towards new yearly highs, supporting projections of aggressive price growth.
- Strong exchange outflows suggest increased investor accumulation and reduced selling pressure, a positive indicator for price appreciation, and growing optimism in the market regarding Ripple’s regulatory clarity typically correlates with such on-chain metrics.
- Short interest dynamics also influence bullish sentiment, as declining short interest can accelerate upward price moves due to forced short covering, and aggressive bullish forecasts, such as predictions by analysts expecting XRP prices to rise to $6–$8 or even $9 by early September, implicitly reflect a market with building positive momentum overcoming bearish pressures.
- Furthermore, machine learning and technical analysis forecasts project prices for XRP in the $5.50 to $8 range by late August 2025, with potential for a parabolic surge, indicating that XRP could break $6 to reach new all-time highs and double or more from current levels near $3.
