XRP is no longer fighting for $1.20. There is a fight over whether to hold the $1.10 level. The latest sell-off came with the type of volume usually associated with forced liquidations rather than orderly sales, driving the token to its weakest levels in months before buyers finally appeared near $1.09.
News background
• XRP ETFs recorded approximately $4 million in inflows after seeing their first daily outflow in three weeks, bringing cumulative inflows to around $1.5 billion.
• Market sentiment deteriorated sharply across cryptocurrencies, with the Fear & Greed index falling into extreme fear territory as traders reacted to broader macroeconomic uncertainty.
• XRP also fell behind USDC in market capitalization rankings after the sell-off pushed its value below $75 billion.
Price Action Summary
• XRP fell from $1.17 to $1.11 during the 24-hour session, hitting lows near $1.09 before recovering slightly.
• The biggest move occurred during the session on June 5 at 06:00 UTC, when volume increased to 268.2 million XRP and accelerated the decline.
• A failed rally towards $1.133 was later reversed sharply, sending the price to new lows before buyers intervened near $1.10.
Technical analysis
• The key takeaway is that support levels continue to become resistance. What a few days ago was a buying zone between $1.20 and $1.25, sellers are now reappearing.
• The move below $1.10 briefly pushed XRP into one of the most oversold conditions seen in years, with weekly RSI readings reaching levels that historically seemed close to major cycle lows.
• Still, overselling does not automatically mean that the market is bullish. Markets can remain oversold for longer than traders expect, especially during sell-off-driven declines.
• The rebound from $1.09 showed signs of seller exhaustion, but the recovery volume remained weaker than the selling that preceded it.
What traders should keep in mind
• $1.09-$1.10 is now the most important support zone on the chart. Losing it would shift the focus towards the $0.92 area highlighted by several analysts.
• $1.12-$1.13 becomes the first recovery zone that XRP needs to recover before any stabilization narrative gains credibility.
• The broader trend remains bearish until XRP begins to reclaim previous support levels instead of simply bouncing into oversold conditions.
• Traders looking for evidence of a durable bottom will likely want to see higher volume on bounces than selloffs, something the market has not yet achieved.
