XRP's recent price action has stirred up a flurry of speculation among crypto traders. Many are questioning whether the cryptocurrency could dip below the $2 support zone. In a recent interview on the Paul Barron Podcast, popular XRP analyst Zach Rector addressed these concerns, sharing insights on how low XRP might realistically fall before buyers step in.

Rector's analysis suggests that a return to the $1 level for XRP is virtually impossible under current market conditions. Despite inflows into Spot XRP ETFs, selling pressure from centralized exchanges has kept XRP in a range just above $2. This situation has left the cryptocurrency at risk of losing that critical support level. The burning question remains: Can XRP price dip back to $1?

During the podcast, Rector made it clear that a move back to $1 is highly unlikely unless an extraordinary market event occurs. He emphasized that the current market structure and buyer behavior do not indicate such a drastic decline. Instead, he noted that XRP's order book is now filled with passive buyers, many of whom have limit orders set well above the $1 mark. Rector also shared his personal trading experience, revealing that he had entered an XRP long position above $3.40 earlier this year. Although that position is currently underwater, he has been dollar-cost averaging, lowering his average entry price to around $2.23.

With this strategy in mind, Rector identified the price levels to watch for potential bounces. He pointed to a support range between $1.90 and $1.80 as the most realistic downside zone if XRP breaks below $2. Over the past year, XRP's price structure has shown signs of gradual strength rather than outright breakdown. Rector highlighted the formation of a sequence of higher lows in XRP's price chart on Coinbase. This pattern includes a low near $1.60 in April, a higher low around $1.77 on October 10, and another higher low at approximately $1.81 in November.

Rector believes that if XRP were to dip below $1.90, it could briefly test the $1.80 level. However, he argues that such a move would still align with the broader higher-low structure that has characterized XRP's price action throughout the year. In summary, while some traders may be anxious about potential declines, Rector's analysis offers a more optimistic view, suggesting that significant support exists in the $1.90 to $1.80 range.

As market conditions continue to evolve, XRP traders will undoubtedly keep a close eye on these key levels. With a mix of bullish sentiment and cautious analysis, the crypto community remains engaged in the ongoing saga of XRP's price movement. The interplay of buyer behavior, market structure, and external factors will ultimately determine whether XRP can maintain its upward trajectory or if it will be forced to confront new challenges ahead.