XRP Price Prediction: Key Scenarios for February 22

Ripple’s XRP has been facing a challenging period, trading slightly below the $2.60 mark, showing a drop of over two percent. In fact, the cryptocurrency has erased all the gains from the past week and is down more than 8% at the time of writing. Despite these short-term struggles, analysts have pointed out two potential scenarios that could shape XRP’s price movement in the coming days. These scenarios depend on how the price reacts to critical support levels, as well as the broader market conditions.

Scenario 1: The End of the Correction Phase?

In this first scenario, some analysts believe XRP may have completed its correction phase, which followed a significant drop in price on February 3. After this sharp decline, the market saw a brief rally, followed by a pullback that seems to have slowed down recently. If this correction is indeed over, XRP could be gearing up for a return to upward momentum.

Should this scenario play out, XRP might aim to reclaim higher price levels, with $3.40 being a key target. This price level is the previous high point that XRP achieved before its recent downturn, and reaching it would mark a new potential bullish phase for the coin. For XRP to confirm the end of its correction, it needs to maintain support at or above the critical $2.52 level. Falling below this threshold could invalidate this bullish scenario, signaling that the correction is not yet finished.

For those who are closely following XRP’s price action, watching the support zone near $2.52 is crucial. If the price continues to hold above this level, the chances of XRP initiating an upward trend are higher. Investors who are looking for a potential buy-in point might consider waiting for confirmation that the price is bouncing from this support level before making their move.

Scenario 2: A Deeper Pullback in Progress

The second scenario paints a more cautious outlook, suggesting that XRP is still in the midst of a deeper correction. If this is the case, the cryptocurrency could face further declines in the short term before it begins its recovery. For this scenario to unfold, XRP would need to break below the $2.52 level, which would confirm that a deeper pullback is underway.

In this case, the next key support levels to watch would be $2.22, $2.10, or even as low as $1.95. If XRP breaks below $2.52, it might head toward these lower support zones before finding enough buying pressure to initiate a reversal. In this bearish scenario, the price could target the range of $2.26 to $2.31, where it could establish a base before attempting a recovery. A deeper pullback would signal that XRP is not yet ready to resume its upward trend, and more patience might be required from investors.

What’s Next for XRP?

Both of these scenarios depend heavily on how XRP reacts to its immediate support zones and how the broader market influences the coin’s price movement. If XRP continues to hold above key support levels like $2.52, the bullish scenario will remain intact, and there could be potential for an upward movement toward $3.40. However, if the price fails to sustain support and breaks below critical levels, XRP may need to establish a new base in lower price ranges before any significant recovery can occur.

At this stage, traders should keep a close eye on price action and market sentiment. A decisive break above $2.52 with strong buying volume could trigger a move toward the higher targets. Conversely, a sustained decline could signal that XRP is still in the midst of its correction and might need more time to consolidate before initiating a recovery.

In conclusion, XRP’s future price movement hinges on its ability to hold support around the $2.52 level. Whether the coin is nearing the end of its correction or is still in the midst of a deeper pullback, both scenarios present potential opportunities for investors. Monitoring these critical levels will be key to determining the next move for XRP in the short term.