XRP · 1H · DOWNTREND
Price has been grinding lower in a clear sequence of lower highs and lower lows since the late July peak near 1.17, and now it's sitting right at the 1.00 psychological level — a level that's been tested sharply in the last few sessions with wicks dipping to ~0.98. The dashed horizontal line visible across the entire chart marks a major prior support zone right around current price, and the fact that price is pressing into it from above with sustained sell pressure tells me this is a distribution breakdown, not a dip to buy. I'm not interested in catching a falling knife here — I'm watching for a dead-cat bounce to offer a cleaner short entry, or for a confirmed break below 1.00 with follow-through.
SHORT SCENARIO
Confirmation
1.05
A bounce into 1.05–1.07 that prints a lower high and then closes back below 1.03 on the 1H confirms bearish continuation — the 1.07 zone is the dense liquidation cluster above price and the prior breakdown area, so any rally into it that fails is a textbook short setup.
Invalidation
1.07
Structure invalidated on a sustained close above 1.07 — that would flip the near-term structure and trigger that dense liquidation cluster, likely squeezing toward 1.12.
Target 1
0.9620
Dense liquidation cluster sitting just above the next visible swing low zone; this is where I expect the first real pause in selling as that fuel gets absorbed.
Target 2
0.9309
The next dense cluster below; extended target if 0.9620 breaks with momentum.
Risk/Reward
(1.03 − 0.9620) / (1.07 − 1.03) = 0.068 / 0.04 ≈ 1.7:1
Resistance: 1.05–1.07 (prior breakdown + dense liquidation cluster) / 1.12–1.13 (dense cluster, prior consolidation)
Support: 1.00 (psychological + visible dashed horizontal) / 0.9620 (dense liquidation cluster)
This is not financial advice. Content is AI-generated.