XRP Price Prediction For December 5: Where’s The Next Move?

XRP traders are scanning the charts—again. The digital asset's price action has become a masterclass in patience, testing both technical levels and investor resolve. With regulatory clouds parting and institutional adoption whispers growing louder, the stage feels set for a decisive move. But which direction?

The Consolidation Conundrum

XRP continues to trade within a well-defined range, squeezing volatility and testing key support zones. Each bounce off these levels gets scrutinized for momentum, each rejection parsed for weakness. The market's waiting for a catalyst—a major partnership announcement, a clear regulatory win, or a sudden surge in network activity—to break the stalemate.

On-Chain Signals vs. Market Sentiment

Beneath the price, on-chain metrics tell a story of their own. Large wallet accumulations often hint at smart money positioning, while exchange outflow spikes can signal a shift from trading to holding. Yet, sentiment remains a fickle beast, easily swayed by broader market tides and the latest headline from a talking head on financial TV—most of whom still can't tell a blockchain from a block of Swiss cheese.

The December Dilemma

Historically, year-end brings a mix of tax-related selling and portfolio rebalancing, often creating unexpected volatility. For XRP, December 5th sits at a crossroads. A clean break above resistance could fuel a rally into the new year, inviting sidelined capital back into the fold. A failure to hold support, however, might see a retest of lower levels as weak hands capitulate.

One thing's certain: in a market obsessed with instant moonshots, XRP's measured dance is either building formidable strength or revealing stubborn stagnation. The next candle will tell.

XRP is under pressure today, falling more than 4% and trading around $2.05. The token is now at risk of dipping below the crucial $2 support zone, a level experts consider important for keeping short-term momentum alive. While the market is seeing weakness overall, XRP’s technical indicators show a mix of warning signs and relief signals.

Large Bearish Divergence Still Active

On the weekly chart, XRP is still dealing with a major bearish divergence that has been building over several months. This signal has not been cancelled, and it suggests that the broader trend remains bearish. Larger divergences like this often take time to play out and can drag prices lower even if short-term signals show some strength.

As long as this divergence stays active, XRP will struggle to FORM a strong upward trend.

Short-Term Relief From Daily Bullish Divergence

However, the daily chart tells a different, more positive story. A small bullish divergence confirmed about two weeks ago, which led to a slight price bounce and a period of sideways trading. This kind of pattern is normal after a bullish divergence and markets often MOVE sideways or show mild upward relief before deciding the next directional move.

For now, this signal is helping XRP avoid a deeper drop in the short term.

Key Levels to Watch: Support and Resistance

The analyst expects XRP to continue moving sideways between strong support and resistance levels:

• Resistance:  XRP faces resistance around $2.20, followed by a heavier resistance band between $2.30 and $2.40.
  
• Support:  Strong support sits between $2.00 and $2.05.
  If XRP breaks below this, the next support zone is around $1.93 to $1.95.
  

If the token loses the $2 level, a quick drop toward the mid-$1.90 range comes into picture.

XRP Price Prediction: What Happens Next?

In the NEAR term, XRP might move sideways between these zones as traders react to both positive and negative signals. The daily bullish divergence could help XRP hold above $2 for now, but the larger bearish divergence on the weekly chart suggests that the broader trend is still downward.

Unless XRP breaks above $2.40, the downside risk remains in focus. If the $2 support fails, analysts see the price sliding toward $1.93–$1.95, with the possibility of further losses if market conditions weaken.