XRP price dips 14% as market faces uncertainty at $2 level

XRP (CRYPTO:XRP) has faced a decline of over 14% in the last 24 hours, slipping to the fourth position in market rankings.

The token recently tested a key breakout point and the 2021 high, resulting in a strong rebound.

However, XRP has not surpassed previous highs, signaling that more movement is required for an established upward trend.

The current market structure suggests that XRP might still be in the fourth wave of a larger correction.

After a three-wave decline in wave A, followed by a three-wave rise in wave B, XRP is now undergoing the C-wave decline.

Despite the recent rebound, the price has not broken through prior highs, implying further movement is needed to confirm the trend reversal.

While there was a rebound, there is still potential for another decline.

The low has yet to be confirmed, and the ongoing liquidity events have caused rapid price movements, making it challenging to determine the exact micro-structure of the waves.

Although another dip remains possible, the price has already reached the 100% extension of the A-wave, a common target for the C-wave.

If the price continues downward, the next key support levels to monitor are around $1.85, where two critical support zones overlap.

After $1.85, further support is expected at $1.78 and $1.66.

The broader crypto market, particularly Bitcoin (CRYPTO:BTC), will play a role in determining XRP’s next move, so it is crucial to watch market behavior closely.

At the time of reporting, the XRP price was $2.12.