XRP Price Outlook Amidst Market Volatility
Crypto Market Faces Heavy Pressure
The cryptocurrency market has experienced significant pressure as an unexpected sell-off wiped out over $100 billion in market value within 12 hours. This reflects a broader risk-off sentiment driven by forced liquidations and de-risking in both spot and derivatives markets.
XRP Price Analysis: Key Support Levels Tested
In the aftermath, Bitcoin dropped below $94,000, and Ethereum saw a 3% decline toward $3,200, leading to widespread market pressure. XRP also faced downward pressure, breaking through the crucial $2.00 support level after failing to reclaim resistance at $2.30. Despite this, the structural integrity of XRP remains intact, suggesting a non-decisive bearish trend.
Currently, XRP is trading at $1.97, marginally below previous support but within a critical structural zone. A potential rebound to $3.00 was projected by CoinGape, contingent on maintaining support above $2.00.
Buyer Activity and Market Outflows
Despite the recent downturn, buyer activity remains dominant, as indicated by the spot taker CVD, which shows more active buyer-driven trades. This suggests that the decline is liquidity-driven rather than aggressive selling. According to CoinGlass analytics, XRP has experienced a net outflow of 5.74M, reducing short-term selling pressure as the price fell below $2.00.
This buyer dominance, coupled with sustained outflows, limits downside risk and supports price stabilization near structural support levels. The market is undergoing controlled testing rather than panic exits, indicating a potential for consolidation rather than further breakdowns.
Conclusion
XRP remains under pressure, yet the decline is more of a structural test than a trend failure. Stabilization above the $1.80 support, supported by buyer absorption and ongoing exchange outflows, maintains the broader recovery framework. Downside risks are limited, with potential rebound scenarios likely if key support levels hold. A sustained drop below $1.80 would challenge this outlook, suggesting a shift to a distribution phase.