Ripple’s XRP is on the verge of a significant technical breakdown. A well-defined head and shoulders pattern has emerged on the daily chart, with price action now testing critical support levels. If confirmed, this could lead to a sharp move lower toward $0.61, a zone with limited structural backing.
Chart Structure Breakdown: Head and Shoulders in Focus
The chart outlines a classic head and shoulders setup, often interpreted as a bearish reversal signal. XRP’s neckline — previously acting as a base between $1.97 and $2.13 — has been decisively breached, shifting short-term momentum to the downside.
Technical Breakdown:
- Pattern Progression: Left shoulder and head developed during XRP’s rally to $3.37. The right shoulder formed on a lower high, completing the pattern.
- Neckline Break: Price has closed below the neckline for the first time since December 2024, weakening bullish structure.
- Swing Low Risk: If XRP breaks below the most recent swing low, the pattern will be fully confirmed — projecting a downside move toward $0.61.
Why $0.61 Remains the Key Price Target
This target stems directly from the height of the head to neckline, projected downward. With minimal price interaction in this range historically, a confirmed break could accelerate the move as buyers step aside.
This mirrors XRP’s earlier breakout structure — a fast climb that could now see a mirror reversal on the downside.
Strategy Outlook: Patience and Confirmation
Traders watching this setup should remain cautious and wait for a clear signal:
- Bearish Entry: Confirmation comes on a daily close below the swing low. This would validate the bearish outlook and set up short entries.
- Target Zone: $0.61, based on classical chart projection.
- Avoid Premature Moves: Jumping in before the pattern triggers carries risk, particularly if XRP attempts a bullish recovery back above the neckline.
Conclusion: Make-or-Break Moment for XRP
The price action surrounding XRP suggests it is approaching a critical technical decision point. If the bearish pattern completes, it could usher in a deeper retracement phase. For traders, all eyes should remain on the swing low — a breach here could pave the way for a fast move to $0.61.
