XRP finally found buyers after one of its sharpest selloffs of the year, but the recovery looks more like stabilization than a trend change. The token bounced from levels last seen before the November 2024 breakout, yet every rally is still running into sellers, leaving XRP stuck between deeply oversold conditions and a market that hasn’t stopped de-risking.
News Background
• More than 25 million XRP left exchanges in recent days, extending a trend that typically points to accumulation rather than immediate selling.
• XRP-linked ETF products continued attracting capital, with roughly $118 million in inflows recorded during May and cumulative inflows approaching $1.4 billion.
• Analysts and forecasting models increasingly view the $1.10-$1.20 area as a potential stabilization zone after XRP’s recent 17% weekly decline.
Price Action Summary
• XRP gained 1.6% over the session, recovering from lows near $1.09 and climbing back toward $1.14.
• The strongest move came during the 22:00 UTC session, when volume surged to 145.3 million XRP and pushed price through resistance near $1.1350.
• Momentum faded into the close, with XRP slipping from $1.1488 to $1.1386 before buyers stepped back in near support.
Technical Analysis
• The bigger story is that XRP remains trapped inside a descending channel despite the bounce. The recovery eased immediate downside pressure but did not break the broader pattern of lower highs.
• The RSI has fallen to one of its most oversold readings since before the November 2024 rally, a sign that selling may be becoming exhausted.
• Exchange outflows and ETF inflows continue to point toward accumulation beneath the surface, but price action still resembles a market trying to find a floor rather than one beginning a new uptrend.
• The bounce from $1.09 matters because it showed buyers are willing to defend the area, though follow-through buying remains limited.
What traders should watch
• $1.13-$1.14 is now the key near-term support zone after the latest recovery.
• $1.15 remains the first meaningful resistance level and the upper boundary of the current descending channel.
• A move above $1.20 would be the first sign that XRP is starting to repair the damage from the recent selloff.
• If support near $1.10 fails again, traders are likely to focus on whether the psychologically important $1.00 level becomes the next downside target.
