XRP price falls 3.5% but rising FUD hints at possible rally

XRP price plunged 3.5% over the past 24 hours to trade at $2.09 as of 2:34 a.m. EST on trading volume that plunged 4% to $3.2 billion.

This comes as social media intelligence platform Santiment claims that social sentiment data shows that XRP is experiencing “the most fear, uncertainty, and doubt (FUD) since October.”

😨 XRP (-31% in the last 2 months), unlike Bitcoin, is experiencing the most fear, uncertainty and doubt (FUD) since October, according to our social data.

🔴 The circles indicate days when there are abnormally higher BULLISH comments compared to BEARISH comments, about XRP (Greed Zone)… pic.twitter.com/ZoFmwrtw3h

–Santiment (@santimentfeed) December 4, 2025

“The last time we saw this level of fear from the crowd was on November 21, and the price of XRP immediately increased by 22% over the next three days,” he adds.

XRP is the worst performing cryptocurrency in the top 10 over the past 24 hours and is now down 42% from its July 2025 all-time high (ATH) of $3.65.

Despite a 7% decline over the past month, XRP is showing signs of recovery after a 9% rise over the past 2 weeks. Can Ripple Token Go Higher?

XRP Price Poised for Sustainable Recovery

THE XRP Price saw a strong rally in July, reaching the upper region of the Fibonacci extension zone before losing bullish momentum near the $3.14 to $3.66 resistance zone. This rejection marked the start of a downward trend as the bears stepped in to secure profits.

As sellers took control, XRP fell below its 50-day and 200-day simple moving averages (SMA). This drop was further fueled by a downtrend structure forming below the 200-day SMA around the $2.60 region, sending market sentiment plunging towards a sharp fall.

This bearish breakdown ultimately pushed XRP towards the lower boundary of the descending channel, with the token approaching the $1.92 to $2.00 support zone aligned with the 1.0 Fibonacci retracement level.

However, this key demand area has allowed buyers to re-enter the market. XRP price has since recovered to the mid-range of the channel, now trading around the $2.09-$2.20 region as it slowly heads towards the 50-day SMA near $2.30.

The Relative Strength Index (RSI) is also showing signs of bullish intent. After approaching the oversold zone at the end of November, the RSI rebounded and is now oscillating around zone 44, gradually returning towards the neutral level 50, despite its consolidation around this zone.

Meanwhile, the Moving Average Convergence Divergence (MACD) indicator supports these early recovery signals. The blue MACD line has broken above the orange signal line and green histogram bars are starting to print as bearish momentum cools, a clear signal of a potential change despite the recent downtrend.

Ripple token poised for recovery towards key resistances

Based on XRP/USD price analysis,

XRP has repeatedly respected the lower boundary of its falling channel pattern, and the latest bounce suggests the momentum could be changing.

A sustained rebound could allow Ripple token price to climb higher into the highlighted supply zone between $2.80 and $3.10.

The first level of resistance lies at the 50-day SMA ($2.30), followed by the 200-day SMA ($2.61 to $2.62), two levels that act as crucial barriers.

Conversely, if XRP price is rejected around the 50-day SMA, the token could still continue trading within the bearish channel. In this bearish scenario, XRP could move back towards the key demand zone near $2.00 to $1.92 if the buying momentum fades.

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