Market participants appeared focused on liquidity conditions and de-risking, with selling pressure intensifying around previously well-defined support levels.
News context
- XRP traded sharply lower over the past session as broader crypto markets faced renewed risk aversion pressure.
- Despite continued inflows into spot ETFs over the past few weeks, short-term price action has been dominated by technical positioning rather than fundamental movement.
- There was no catalyst for this decision.
- Instead, the decline reflects positioning adjustments between the majors, with XRP showing relative weakness against its peers as supply emerged higher.
Technical analysis
- XRP fell decisively below the $1.93 support zone, a level that has held despite several tests in recent weeks. This breakdown occurred alongside a significant increase in trading volume, indicating the participation of larger market participants rather than restricted and illiquid transactions.
- Total session volume reached approximately 191 million tokens, approximately 246% higher than the 24-hour average. The most intense activity coincided with the move to $1.93, confirming acceptance below this level.
- On lower time frames, price action remained capped below $1.88, which now functions as near-term resistance.
- The structure on the hourly chart remains bearish, with lower highs and limited follow-through of minor rebounds. Momentum indicators remain compressed, suggesting that selling pressure is not completely exhausted.
Price Action Summary
- XRP rose from just under $2.00 to a session low near $1.87.
- The $1.93 level quickly failed when tested, with no sustained bidding response.
- Price briefly consolidated between $1.86 and $1.88 after breakdown
- Volume remained high through the close, signaling a repositioning in progress
Volatility increased significantly with XRP trading in a wide intraday range compared to recent sessions.
What Traders Need to Know
- $1.93 has moved from support to resistance and remains a key level to watch
- Sustained trading below $1.88 keeps downward pressure intact in the near term
- $1.85 is the next significant area where buyers could attempt to stabilize prices.
- Any recovery attempt will likely require a recovery of $1.93 on declining volume to signal a reduced distribution.
- In the meantime, XRP remains technically vulnerable, with price action driven more by flow and positioning than long-term accumulation signals.
