Analyst Warns of Potential Historic Bear Trap for XRP as Price Nears Critical $1.90-$1.93 Support Zone

Crypto analyst ChartNerd has issued a stark warning to XRP traders, suggesting the asset may be forming what he describes as "the biggest bear trap the asset will ever see." The analysis centers on a critical technical zone between $1.90 and $1.93, which includes a major liquidity support level and the 20-month Exponential Moving Average (EMA).

ChartNerd's detailed technical assessment highlights the $1.90 region as a major area of liquidity and demand. He warns that a brief sweep below this level could trigger panic selling and stop-loss cascades, creating the appearance of a bearish breakdown. However, the analyst posits this could be a deceptive "liquidity grab" designed to flush out weak-handed traders before a significant upward reversal.

A central focus is the 20-month EMA, currently around $1.93, which has historically acted as a crucial trend filter for XRP. A monthly close above this EMA in December would likely confirm a local market bottom, signaling that structural support is being maintained despite recent volatility. The accompanying chart shows XRP consolidating just above this line after a strong impulsive move earlier in 2025.

While leaning toward the bear trap scenario, ChartNerd also cautions that a decisive and sustained break below the 20-month EMA could open the door to further downside, potentially confirming additional market "depression" and pushing XRP toward lower demand zones. The analyst emphasizes that December's monthly close will be decisive in determining whether XRP stabilizes for a reversal or enters a deeper corrective phase.

In a separate but related analysis, ChartNerd also examined XRP's position within a weekly Gaussian Channel. While the price remains inside this upward-sloping channel—suggesting the broader bullish structure is technically intact—it has slipped below the mid-regression band around $2.15, indicating lost momentum. Reclaiming the $2.15 level is cited as key for bulls to regain control. The analysis notes a critical multi-month horizontal support zone just below the current price, which has been defended multiple times. A failure to hold this support, coupled with a failure to reclaim the mid-band, could see XRP fall toward the lower Gaussian Channel band near $1.56.