XRP fell to $1.85 after breaking the $1.87 support zone, with higher currency inflows pointing to renewed distribution just as bitcoin’s rebound lost momentum and overall risk appetite remained cautious.
News background
Institutional interest in XRP remains structurally supportive through ETFs, but short-term flows tell a different story. On-chain data shows a strong rebound in XRP deposits on major exchanges in recent weeks, suggesting that holders are increasingly positioning themselves to sell on rallies rather than accumulate.
Daily currency inflows have ranged between approximately 35 million and 116 million XRP since mid-December, a notable change from previous periods of relative equilibrium. This behavior typically reflects profit-taking or defensive repositioning rather than speculative accumulation.
The move comes as Bitcoin’s attempts to regain bullish traction have struggled to sustain during US time, keeping the large-cap cryptocurrencies locked in a risk management treadmill. With ether also failing to generate sustained momentum, major secondary companies like XRP have been more exposed to supply-driven moves.
Technical analysis
XRP fell from $1.89 to $1.85, decisively breaking the $1.87 support area that had held during the recent consolidation. Sales accelerated during the most active window, with volume reaching around 68 million XRP (about 77% above the 24-hour average), confirming that the move was not a drift of low liquidity.
On shorter timeframes, price action formed a tentative double bottom near $1.846-$1.848, but bounces repeatedly stalled near $1.85, turning that level into short-term resistance rather than support. The broader structure remains a descending channel, and the failed bounce attempts suggest that sellers are still active with minor strength.
Momentum indicators are starting to show oversold conditions, but the price has yet to regain any significant resistance. Until that happens, the technical bias will remain defensive rather than ready for a reversal.
Price Action Summary
- XRP fell from $1.89 to $1.85 in 24 hours, breaking $1.87 support
- Sales peaked during the crisis with volume ~77% above average.
- The price briefly stabilized near $1.846, but failed to recover $1.85 cleanly.
- Rebounds have been limited, reinforcing a lower-high structure
What traders should know
This is a classic offer versus support setup.
Currency inflows suggest that more XRP is available for sale, which helps explain why rallies remain stagnant even as long-term ETF demand remains intact in the background.
The levels are clear:
- If $1.85 fails, the decline opens towards $1.84 and then towards the demand zone of $1.77-$1.80, where buyers have intervened previously.
- If XRP can regain $1.87, and especially close above $1.90, it would indicate that the selling pressure is easing and shift the focus towards $1.95-$2.00.
For now, the tape reads as consolidation with distribution overhead. ETF flows may cushion a sharp decline, but unless Bitcoin regains momentum, XRP is likely to remain vulnerable to further tests of support rather than mounting a clean recovery.
