Urgent XRP Price Warning: Could a September Crash Be Imminent?

Investors closely watch the **XRP price** as August concludes with significant losses. Many now wonder: Is an **XRP crash** looming in September? Recent market movements and expert **technical analysis** suggest a critical period ahead for the digital asset. This report delves into the data, examining key support levels and potential downside risks. Understanding these factors is crucial for anyone navigating the current **crypto market** volatility.

August’s Decline and the September XRP Price Outlook

XRP experienced a notable decline throughout August. The digital asset dropped over 22.30% in the past month. This occurred after peaking near $3.66, marking August for a losing close. Such performance raises significant concerns among investors. Many are now asking if this slump will extend into September. Analysts point to a crucial level for the **XRP price**.

Specifically, the **XRP price** must hold above $2.80. Failure to maintain this support could trigger a technical correction. This correction might push the downside target closer to $2. This situation creates a tense atmosphere for holders. Market participants are preparing for potential volatility.

On-Chain Data Signals Potential XRP Crash

On-chain data provides valuable insights into potential price movements. Glassnode’s cost basis heatmap indicates a critical test for XRP near $2.80 in September. This specific price range holds the largest cluster of supply. Approximately 1.71 billion XRP were acquired between $2.81 and $2.82. As of Friday, XRP traded around $2.88, just above this significant supply zone.

A drop below this range could trigger a new wave of profit-taking. Holders might see their gains diminish, prompting sales. This scenario would accelerate selling pressure. Consequently, it could lead to an **XRP crash**. The next major support level for September appears around $1.73. This level represents the 0.5 Fibonacci retracement. It previously acted as a firm floor in early 2025, according to historical charts.

Decoding XRP’s Technical Analysis for a Bearish XRP Forecast

Several **technical analysis** indicators also warn of potential downside risk. On the weekly chart, the Moving Average Convergence Divergence (MACD) shows a concerning trend. The MACD measures shifts in trend strength. It is currently on track to print a bearish crossover in September. This particular signal often precedes price pullbacks.

When the MACD’s faster-moving blue line falls below its slower orange line, momentum weakens. Historically, similar crosses have marked the start of significant retracements. For instance, XRP’s weekly MACD crossed bearish in May 2021, September 2021, and March 2025. Each instance occurred just after the price peaked. These events triggered declines that first tested the 50-week exponential moving average (50-week EMA). This EMA is often referred to as the red wave on charts.

Should this MACD fractal repeat, XRP could slide toward the 50-week EMA. This level sits around $2.17. Such a move would represent about a 25% drop in September. This downside target has appeared in multiple XRP analyses previously. It also aligns with a key 0.618 Fibonacci retracement support line. This convergence of indicators strengthens the bearish **XRP forecast**.

Deeper Support Levels and the Broader Crypto Market Impact

A decisive drop below the 50-week EMA and the $1.73 Fib line would confirm a bear market. In this scenario, the **XRP price** could go as low as its 200-week EMA. This blue wave on charts currently sits at approximately $1.19. This pattern played out after the MACD bearish cross in September 2021. At $1.19, XRP/USD would trade near the average acquisition cost of current holders.

According to Glassnode, over 90% of XRP holders remain in profit. However, this situation raises the odds of increased profit-taking. If prices fall further, more holders might secure their gains. This could create a cascading effect within the **crypto market**. The broader market sentiment often influences individual altcoin performance. Therefore, a bearish turn in the general **crypto market** could exacerbate XRP’s decline. Investors must monitor these interconnected factors closely.

Bullish Counterarguments and the Future XRP Forecast

Despite the prevailing bearish signals, a different **XRP forecast** exists. The bulls must hold above the 50-week EMA to avoid the most severe bearish scenario. Luckily, XRP has historically found strong support at this EMA. Since July 2024, for example, XRP found support at the EMA. It then regained momentum and climbed to new multiyear highs. This pattern offers a glimmer of hope for investors.

Multiple analysts suggest a similar outcome could play out this time. They predict that this top-three cryptocurrency will reach at least $4 in the coming months. This optimistic **XRP forecast** contrasts sharply with the bearish outlook. Ultimately, the next few weeks will prove crucial. The ability of bulls to defend key support levels will determine the immediate direction of the **XRP price**.

This article provides general information only. It is not intended as legal or investment advice. The views expressed are solely the author’s. They do not necessarily reflect the views of Crypto News Insights.