XRP, the native token of the Ripple network, has dropped below a critical support level of $2.30, signaling increased selling pressure and broader market weakness. The decline has been accompanied by high trading volumes, suggesting panic or large-scale profit-taking among investors.
XRP is currently trading at $2.28, showing a 2.9% intraday loss, according to market data.
Despite this pullback, technical analysts have observed the formation of a double-bottom pattern, often a bullish reversal signal, if confirmed by a strong bounce.
Institutional Selling Meets Strong Interest
Over the last 48 hours, institutional wallets have been actively reshuffling XRP holdings, contributing to increased volatility. While some large holders are offloading positions, fresh buy orders from investment firms and exchanges indicate underlying interest in accumulating at these levels.
Institutional activity remains high, suggesting that major players may be positioning for long-term gains rather than reacting to short-term dips.
This dual behavior points to a divergence in sentiment — while some traders fear a deeper correction, others see value in XRP’s fundamentals amid upcoming regulatory clarity and potential spot ETF speculation.
Technicals: Double-Bottom Pattern in Play
Chart analysts are closely watching a developing double-bottom pattern around the $2.25–$2.30 zone, which, if validated by a breakout above $2.40, could signal a price recovery trend.
“A break above $2.40 would confirm the double-bottom, setting sights on the $2.70 resistance,” said crypto analyst J. Patel.
The Relative Strength Index (RSI) is also hovering near oversold levels, further supporting the potential for a technical bounce in the short term.
Regulatory Uncertainty Still Lingers
One of the biggest ongoing challenges for XRP remains its legal battle with the SEC, which continues to influence investor sentiment. While Ripple Labs has secured some minor legal victories, the lack of a clear resolution continues to weigh on market confidence.
“XRP is caught between long-term utility potential and short-term legal headwinds,” said blockchain legal expert Emma Lo. “That’s why price action remains choppy.”
Can XRP Recover in the Near Term?
If institutional interest continues and macro conditions stabilize, XRP may stage a recovery in the coming weeks. However, traders should watch for confirmation of technical patterns, especially the double-bottom and RSI divergence, before entering long positions.
Key resistance zones: $2.40 and $2.70. Support to watch: $2.20.