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XRP poised to test $1.00 key support level

  • XRP approaches the $1.00 lifeline support amid a predominantly weak technical outlook.
  • XRP whales continue to increase their holdings despite the token’s persistent sell-off.
  • XRP’s technical structure remains weak, with strong supply zones and deteriorating momentum indicators.

Ripple (XRP) remains pressured on Friday, trading around $1.03 at the time of writing. The token appears to hold this current level as support but lacks a catalyst to sustain a knee-jerk rebound toward the next key resistance at $1.10.

XRP whales increasing holdings 

Whale accumulation on the XRP Ledger (XRPL) is accelerating, with the number of wallets holding between 100 million and 1 billion XRP rising sharply to represent 11.79%% of the circulating supply as of Friday, up from 11.65% the day before. 

Investors with between 10,000 and 100,000 XRP are also stacking the token despite the ongoing selling. According to Santiment, this cohort of whales holds 11.86% of the circulating supply so far on Friday. Continued risk-on behavior could drive increased demand, effectively offsetting selling pressure and supporting a sustained market recovery.

XRP Supply Distribution | Source: Santiment 

Meanwhile, risk appetite has improved but only marginally, with sentiment currently in the Fear territory at 29, up from 25 in the Extreme Fear territory on Thursday, according to the Fear & Greed Index. If sustained, strong sentiment would mean risk assets are attractive to investors, thus raising the odds of a sustained recovery.

Crypto Fear & Greed Index | Source: Alternative

Technical analysis: XRP retains a broad bearish outlook

XRP trades at $1.03, keeping a clear bearish near-term bias as price holds beneath the downward resistance trendline at $1.06 and all key Exponential Moving Averages (EMAs). The 50-day EMA at $1.11, clustered with the SuperTrend line at $1.11, reinforces the notion of overhead supply, while the 100-day and 200-day EMAs at $1.19 and $1.39, respectively, frame a broader downtrend.

Momentum remains weak, with the Relative Strength Index (RSI) hovering near 37 and the Moving Average Convergence Divergence (MACD) in negative territory and below its signal line, suggesting sellers retain control.

XRP/USDT daily chart

Initial resistance aligns at the former break area of the descending trendline around $1.06, followed by a dense technical ceiling around the 50-day EMA and the SuperTrend barrier at $1.11. Above that, the 100-day EMA at $1.19 is the next hurdle before the longer-term bearish structure defined by the 200-day EMA at $1.39 comes into play. Further declines would leave XRP searching for fresh demand zones at $1.00, unless buyers first reclaim the $1.06 region to ease immediate downside pressure.

(The technical analysis of this story was written with the help of an AI tool. Know more.)

Ripple FAQs

Ripple is a payments company that specializes in cross-border remittance. The company does this by leveraging blockchain technology. RippleNet is a network used for payments transfer created by Ripple Labs Inc. and is open to financial institutions worldwide. The company also leverages the XRP token.

XRP is the native token of the decentralized blockchain XRPLedger. The token is used by Ripple Labs to facilitate transactions on the XRPLedger, helping financial institutions transfer value in a borderless manner. XRP therefore facilitates trustless and instant payments on the XRPLedger chain, helping financial firms save on the cost of transacting worldwide.

XRPLedger is based on a distributed ledger technology and the blockchain using XRP to power transactions. The ledger is different from other blockchains as it has a built-in inflammatory protocol that helps fight spam and distributed denial-of-service (DDOS) attacks. The XRPL is maintained by a peer-to-peer network known as the global XRP Ledger community.

XRP uses the interledger standard. This is a blockchain protocol that aids payments across different networks. For instance, XRP’s blockchain can connect the ledgers of two or more banks. This effectively removes intermediaries and the need for centralization in the system. XRP acts as the native token of the XRPLedger blockchain engineered by Jed McCaleb, Arthur Britto and David Schwartz.

Author

John Isige

John Isige

FXStreet

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren

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