Ripple’s XRP is showing signs of resilience in the crypto market, but its price momentum remains capped below a key resistance level, even as institutional interest and derivatives activity stay robust.
XRP’s Price Action and Market Sentiment
On Monday, XRP pulled back after hitting resistance at $2.22, trading around $2.17 and reflecting a cautious mood across the broader crypto market. This pause comes as investors await signals from the US Federal Reserve and the European Central Bank, with monetary policy uncertainty and geopolitical volatility shaping sentiment.
Institutional Inflows Remain Strong
Despite the price pullback, institutional appetite for XRP is holding firm. Last week, inflows into XRP-focused investment products reached $10,6 million, bringing year-to-date inflows to $219 million and total assets under management to $1,18 billion. According to CoinShares, this steady demand is driven by global uncertainty and the search for alternative assets.
Derivatives Market Signals Conviction
XRP’s futures open interest (OI) remains above $4 billion, up 15,5% from $3,54 billion just a week ago. This uptick in OI, alongside a 17% rise in derivatives trading volume to nearly $3 billion, suggests that traders are actively positioning for future moves. Liquidations have been balanced between long and short positions, indicating a market in search of direction.
Technical Outlook: Downside Risks and Key Levels
Technically, XRP is consolidating after rebounding from support at $1.90, but it remains below the 100-day Exponential Moving Average (EMA) at $2.22. The Relative Strength Index (RSI) has dipped below the midline, hinting at growing bearish momentum. If the price breaks below the 200-day EMA at $2.10, further support could be found at $1.90, $1.80, and $1.61—levels tested earlier this year.
A sell signal from the SuperTrend indicator, triggered on May 31, continues to validate the current downtrend. However, persistent investor interest could limit the downside, setting the stage for potential consolidation and a renewed breakout attempt. A 7,44% rally from current levels would target resistance at $2.33, with a move to $2.65 representing a 22% upside.
XRP/USDT daily chart
What is Ripple and XRP?
Ripple is a fintech company specializing in cross-border payments, leveraging blockchain technology through its RippleNet network. XRP is the native token of the XRP Ledger, designed to facilitate fast, trustless, and cost-effective global transactions for financial institutions.
