XRP price stuck under $2.38 as $470M selloff shakes market sentiment – Crypto News – Crypto News
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XRP price stuck under $2.38 as $470M selloff shakes market sentiment XRP price stuck under $2.38 as $470M selloff shakes market sentiment

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XRP price stuck under $2.38 as $470M selloff shakes market sentiment – Crypto News

Published

7 months ago

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  • XRP has risen over the past six weeks but remains stuck below a key downtrend line.
  • Whales continue to exit positions at signs of short-term price rallies.
  • A Bitcoin-led market rally could still support a reversal if XRP hits $2.56.

XRP’s recent price action shows signs of recovery, but a deeper look at investor behaviour and technical patterns points to mounting uncertainty.

Despite a gradual uptrend over the past six weeks, XRP remains stuck beneath a critical resistance level.

A recent wave of profit-taking saw approximately $470 million in XRP sold in just 24 hours, marking the largest single-day realised profit since early March.

The heavy selling has once again put pressure on XRP’s price recovery, reinforcing the psychological barrier around $2.38.

At the time of writing, XRP is trading at $2.34 and struggling to hold above this level.

XRP
Source: CoinMarketCap

The four-month-long downtrend continues to act as a ceiling, and previous breakout attempts have failed to establish sustained momentum.

Investors lock in gains as sentiment turns cautious

On-chain data suggests that investor confidence in XRP remains fragile.

The recent selloff has followed a familiar pattern seen earlier this year, where brief rallies triggered mass profit-taking.

As XRP’s price climbed in recent days, large holders—commonly referred to as whales—moved to offload significant volumes.

This mirrors the March trend, when even a modest rise in value sparked similar exits.

The result has been a weakening of support zones, with the current $2.27 level now under threat.

If XRP fails to consolidate above $2.38 and continues to drop, the next support could be found around $2.12.

A sustained move below these levels may invalidate the recent bullish trend and extend the downward pressure on the token.

Resistance holds as the breakout fails to materialise

Technical analysis indicates that XRP remains locked in a broader descending trend, which has persisted for over four months.

Although the recent rally brought XRP within reach of a breakout, the token failed to close above the descending trendline.

This resistance has proven resilient, with each attempt at reversal quickly meeting with profit-taking and fading bullish interest.

The continued inability to break this line reinforces the cautious tone in the market.

As trading volumes fluctuate and resistance holds, analysts are watching closely to see whether this is a temporary pause or the start of a deeper correction.

The next few sessions may prove pivotal in determining XRP’s direction over the coming weeks.

Bitcoin rally could flip XRP trend

While XRP’s internal indicators show a possible decline ahead, external factors could still influence its path.

A broader crypto market rally, particularly one fuelled by Bitcoin reaching a new all-time high, could shift sentiment in favour of XRP and other altcoins.

Under such circumstances, XRP would need to reclaim $2.56 as a support level to fully invalidate the bearish outlook and regain upward momentum.

Until then, the market remains at a crossroads. The bearish thesis remains intact unless XRP successfully breaches key resistance levels and secures higher support zones.

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