XRP Faces Bearish Pressure, Could Fall Below $1 Amid Whale Selling

XRP is once again showing signs of strain as it trades around a key support zone near $1.33. The asset is hovering at this level, which now acts as immediate support, but the overall tone remains fragile. Short-term rebounds continue to face resistance, keeping sellers in control for now.

Bearish Setup Persists Across XRP Timeframes

On the two-day timeframe, XRP is shaping a structure that resembles a bear pennant. This setup usually follows a sharp drop, with price trading within a tightening channel marked by two sloping trendlines. Such formations often lead to another downward movement similar in size to the initial decline. For XRP, this pattern appeared after the strong fall toward $1.12. If the price slips past the lower edge of the pennant, it could move toward $0.80, representing a decline of nearly 40% from its current level.

The daily chart aligns with this cautious outlook. XRP continues to print lower highs and lower lows, reinforcing the prevailing downward trend. Price action remains beneath the 20-day moving average, while a descending resistance line steadily compresses the range. This setup resembles a descending triangle, a configuration commonly linked to bearish continuation if support fails.

Momentum indicators also reflect ongoing weakness, which is evident in several key measures:

• Bollinger Bands are tightening, showing that volatility is shrinking while price remains near the lower band, pointing to ongoing downward pressure.
• The Relative Strength Index is hovering around 34, indicating weak momentum and a market approaching oversold conditions.
• Despite nearing oversold levels, the RSI has not yet signaled a clear reversal, suggesting that sellers still dominate in the short term.

Key Levels in Focus

Analyst BitGuru acknowledged the broader downtrend and pointed to the $1.22 zone as a strong support level. In his view, maintaining this area could allow for gradual stabilization and possibly open the door to a recovery phase.

From a technical standpoint, however, the immediate focus remains on the current $1.33 support, which sets the stage for possible next moves.

• If the price falls below this level, it could move toward $1.22, marking the next significant support area.
• Should selling intensify further beyond $1.22, XRP could drop to $1.00 or even lower.
• On the upside, a recovery above $1.45 combined with a break of the descending resistance line would be needed to alter the current bearish outlook.
  

XRP Whale Transfers Signal Rising Selling Pressure

While price action weakens, on-chain activity adds another layer of concern. Darkfost, a contributor at CryptoQuant, reported that more than 31 million XRP were transferred to Binance. Most of these transfers originated from the largest XRP holders. Wallets holding over 1 million XRP accounted for 14.5 million tokens. Those in the 100,000–1 million range moved 14.2 million XRP, while 10,000–100,000 XRP wallets transferred 2.9 million tokens, and smaller groups contributed relatively minor amounts.

Darkfost explained that these transfers represent potential sell-side pressure worth close to $45 million. Such sizeable inflows to an exchange often signal preparation for liquidation. If this wave of selling persists, XRP may find it difficult to stage a durable rebound in the near term, especially while technical indicators continue to lean bearish.