XRP Price Forecast: XRP eyes rebound above $1.40 despite sluggish market interest
- XRP holds lifeline support at $1.38 on Friday as bulls target short-term breakout above $1.40.
- XRP retail and institutional demand cools with Open Interest falling to $2.59 billion amid muted ETF activity.
- The SuperTrend indicator maintains a buy signal despite major moving averages capping XRP’s recovery potential.
Ripple (XRP) appears to have found support at $1.38 on Friday, after a significant correction following its weekly high at $1.47, tagged on Wednesday. The remittance token shows subtle rebound signals, aiming for a short-term breakout above the $1.40 supply threshold.
Cooling market interest weighs on XRP
Institutional demand for XRP spot ETFs stalled on Thursday, as SoSoValue reported zero inflows. This marks a pause after three consecutive days of robust inflows: $3.87 million on Monday, $11.28 million on Tuesday, and $13.03 million on Wednesday.
Despite softening demand, cumulative inflows average $1.32 billion, up from $1.29 billion on Monday. Total assets under management stand at $1.08 billion, up slightly from $1.07 billion in the same period.
XRP derivatives demand cooled on Friday to $2.59 billion, from $2.61 billion the previous day. Despite the XRP price showing subtle signs of a rebound toward $1.40, softening retail demand suggests sellers are increasingly opening short positions, anticipating a break below the daily support at $1.38.
Meanwhile, with liquidity clustered around the $1.40 supply area, heightened volatility could challenge the bulls’ short-term objective.
Technical outlook: XRP tests rebound strength despite limited upside
XRP trades at $1.39, keeping a bearish near-term bias as price remains capped beneath a pack of key moving averages. The 50-day Exponential Moving Average (EMA) at $1.41 is the first barrier overhead, with the longer-term 100-day and 200-day EMAs at $1.50 and $1.72 reinforcing a broader downside tone.
A downtrend resistance line, whose break level aligns at $1.45, further limits bullish ambitions. Moreover, the Relative Strength Index (RSI) is near 49 on the daily chart, while a slightly negative Moving Average Convergence Divergence (MACD) histogram hints at lackluster momentum rather than an imminent upside breakout.
On the downside, initial demand is seen at the SuperTrend line, now providing support around $1.32 and marking the first level where dip buyers could attempt to steady the market.
On the topside, a sustained close above the 50-day EMA at $1.41 would be the first sign of easing bearish pressure, exposing the descending trendline resistance near $1.45. Further gains would then bring the 100-day EMA at $1.50 into focus, ahead of the more distant 200-day EMA at $1.72.
(The technical analysis of this story was written with the help of an AI tool.)
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.
Nothing in this material constitutes investment advice, personal recommendation, investment research, an offer, or a solicitation to buy or sell any financial instrument. The content has been prepared without consideration of your individual investment objectives, financial situation, or needs, and should not be treated as such.
Past performance is not a reliable indicator of future performance and/or results. Forward-looking scenarios or forecasts are not a guarantee of future performance. Actual results may differ materially from those anticipated.
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