While XRP fell to its lowest levels in 15 weeks with the last wave of sales, it seems that short-term pressure in the market prevailed over fundamental indicators. Latest data revealed that the price dropped as low as $1.32 before trading around $1.29.
Selling pressure came to the fore
According to market intelligence platform CryptoSavingExpert, the sharp pullback occurred despite several positive developments that would have supported the price under normal circumstances. In the broader cryptocurrency market, where institutional interest continues, there has been approximately $1.42 billion of new inflows into spot crypto ETFs.
In addition, it was reported that approximately 25 million XRP was withdrawn from the exchanges. Such outflows are often considered a positive signal as they reduce the supply available for sale. Under normal market conditions, the decline in stock exchange balances along with ETF inflows can create a supportive basis for the price.
The latest decline occurred at a time when institutional interest was increasing and large XRP outflows were seen from exchanges; This chart indicates that short-term market sentiment prevails over fundamental data.
However, recent price action shows that investors are focusing more on short-term risks. Profit taking, uncertainty in the cryptocurrency sector and more cautious risk appetite seem to have overshadowed the impact of positive data.
Critical support zone is being watched
The recent sell-off has moved XRP into technically important territory. Market participants are particularly closely monitoring the $1.30 level. This threshold is seen as the boundary between a possible recovery and a deeper correction.
According to CoinCodex data, XRP is currently trading at $1.29, indicating that the price remains slightly below the critical support area. If it persists below $1.30, there may be a possibility that additional selling pressure will come into play and the price will decline towards $1.28.
There is resistance at $1.34 above
In the upside scenario, the first important resistance is at $ 1.34. It is considered that if buyers recapture this region, the momentum may change and the price may react towards $1.40. For this to happen, market perception will need to improve and the aggressive sales that have come to the fore in recent days will need to weaken.
On the other hand, some analysts remain optimistic about the long-term outlook for XRP. Computer engineer and banking systems expert CharuSan argued that $300 predictions for XRP are based on the possibility of widespread use in the global banking infrastructure rather than individual investor interest. CharuSan stands out as a market commentator known for his evaluations on banking systems.
Market observers also note that weak positions in XRP have been liquidated, with a $2.26 billion liquidation zone above. For now, the struggle between buyers and sellers is expected to determine the direction of the price in the coming transactions.
