XRP has been consolidating above $2 in recent days but is struggling to maintain its position after confirming a prolonged downtrend earlier this month. The declining investor interest in XRP is a concern, as evidenced by new addresses associated with XRP hitting a 5-month low, indicating a decrease in fresh capital flowing into the asset.

The lack of new buyers entering the market could make it challenging for XRP to sustain its price above $2. The weakening demand is worrisome because the altcoin's price growth is typically bolstered by new market participants. With fewer investors entering the market, XRP may face a period of stagnation unless there is a change in demand.

Technical indicators like the RSI reflect weak macro momentum for XRP, remaining below the neutral line of 50.0, suggesting a bearish trend. The overall market sentiment is bearish, further impacting XRP's potential for recovery unless there is a market turnaround or renewed demand for the altcoin.

XRP's current price is at $2.10, holding above the $2.02 support level but encountering resistance at $2.16. The ongoing downtrend since the beginning of the year continues to put pressure on XRP's price. Failing to break through the resistance level could see XRP attempting to rise higher but facing challenges due to current market conditions.

In a scenario where XRP fails to hold the $2.02 support level, a potential drop to the next support level at $1.94 may occur, with a further decline to $1.79 likely. Conversely, breaching the $2.16 resistance level could lead XRP towards $2.27, and possibly even reaching $2.40 with a shift in investor sentiment and market conditions, invalidating the bearish outlook.