Jim Rickards and Technical Analysts Pinpoint XRP's Downside Target at $1.40

While macroeconomic concerns raised by analysts like Jim Rickards continue to weigh on broader market sentiment, technical analysts have identified specific bearish signals in XRP’s price structure. According to an in-depth technical review published on TradingView on January 23, the analysis reveals that XRP has been trapped in a prolonged bearish phase since peaking in mid-July 2025, with no meaningful recovery in sight.

The Descending Channel Pattern Confirms Extended Bearish Pressure

The core of the bearish thesis rests on a clearly defined descending channel that has dominated XRP’s price action for months. This formation consistently produces lower highs and lower lows, a pattern that historically signals continued downside pressure. Multiple failed attempts to reclaim the 200-day moving average—a level that typically functions as a major trend filter—have reinforced this negative momentum.

Early January 2026 marked another critical juncture when XRP formed a lower high, initiating a fresh bearish leg within the broader downtrend. Each rejection near major moving average levels has served as confirmation that the bearish structure remains intact and in control of price direction.

Support Levels and Historical Symmetry Point to February’s Critical Zone

The analysis highlights the 100-week moving average as a crucial longer-term support barrier. While this level has historically cushioned declines during prior downturns, the technical framework suggests that once this support breaks, XRP tends to experience accelerated losses. Historical precedent within the same descending channel shows that previous bearish legs have produced declines exceeding 40%.

If this symmetrical pattern holds true, a 40% decline from recent highs would align precisely with the $1.40–$1.45 zone. The technical projections based on channel boundaries suggest that if XRP fails to reclaim major daily moving averages and weekly support levels break, the decline could extend into late February 2026—a timeframe that coincides with the lower boundary of the descending channel.

Current Market Conditions: XRP Tests the Predicted Floor

As of February 7, 2026, XRP has reached the predicted technical target, trading at $1.40 after a significant correction. The asset has declined 2.16% over the past 24 hours and dropped 17.15% over the past week, now trading well below its key moving average thresholds. The 50-day simple moving average near $2 serves as immediate resistance overhead, while the 200-day SMA around $2.50 underscores the deeply negative longer-term technical structure.

Momentum indicators present a more nuanced picture. The 14-day RSI currently stands at neutral territory, suggesting that while bearish momentum exists, it has not yet become overstretched. This dynamic leaves room for either a brief stabilization or further deterioration, depending on how support levels respond to ongoing selling pressure.

The convergence of Jim Rickards’ macroeconomic warnings and these technical bearish patterns adds weight to the case for continued caution among XRP traders monitoring this critical support zone.