Can Bulls Flip $1.72 to Shift Trend?

• XRP remains in a clear downtrend, marked by consistent lower highs and lows.
• Momentum indicators hint at early bullish strength, but sellers still control major zones.
• Derivatives and spot data show deleveraging, signaling cautious trader positioning ahead.

XRP extended its broader decline after failing near the $3.60 to $3.70 cycle top, and the daily chart still reflects a clear bearish structure. The token now trades near $1.38 after rebounding from $1.12, which marks the latest liquidity sweep. 

However, the overall trend continues to show lower highs and lower lows. Consequently, traders now focus on whether this bounce represents accumulation or simply another relief rally within a dominant downtrend.

Support Holds, but Pressure Remains

The $1.12 level now defines the most important structural floor. Buyers stepped in aggressively at that zone, preventing further breakdown. Hence, this area now serves as the primary demand base.

Below that, $1.00 stands as psychological support. A decisive close beneath $1.12 could accelerate losses toward the $0.85 to $0.90 extension zone. That range marks the next downside target if selling resumes.

However, momentum indicators show early signs of strength. The DMI reveals rising positive directional movement. Additionally, the ADX now strengthens above 30, signaling building trend momentum. Bulls must still prove control by reclaiming higher resistance levels.

On the upside, $1.72 represents the first meaningful barrier. This level aligns with the 0.236 Fibonacci retracement. Consequently, price must clear this zone to validate a sustained recovery attempt.

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Above that, $2.09 forms a strong supply region near the 0.382 retracement. Moreover, $2.39 marks the mid-range 0.5 level, where sellers previously dominated. The major reversal threshold stands near $2.69, the 0.618 retracement. A breakout above that zone would significantly alter the macro structure.

Derivatives and Flow Data Show Cooling Speculation

Open interest trends reflect changing trader behavior. Earlier in the cycle, open interest expanded sharply from below $1 billion to nearly $9 billion. This surge coincided with aggressive leveraged positioning.

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Significantly, a second expansion phase pushed open interest above $10 billion before resetting. Currently, open interest compresses near $2.3 billion. This contraction signals deleveraging and reduced speculative exposure.

Spot flow data also reinforces caution. Persistent net outflows dominate recent months. Large red spikes often exceeded negative $100 million, indicating sustained exchange deposits. Additionally, inflows remain limited and short-lived. Buyers appear during rebounds but lack follow-through strength.

Technical Outlook For XRP Price

Key levels remain clearly defined for XRP as it trades near $1.38 after defending the $1.12 cycle low. The broader structure still shows lower highs and lower lows. However, short-term momentum has started to stabilize.

• Upside levels: $1.72 stands as the first major hurdle. This level aligns with the 0.236 Fibonacci retracement. A decisive breakout above $1.72 could open the path toward $2.09 and $2.39. If buyers sustain pressure, price may extend toward $2.69, which marks the 0.618 retracement and a major trend reversal zone.

• Downside levels: $1.12 remains the critical structural support. Below that, $1.00 acts as psychological backing. If sellers break this base, XRP could slide toward the $0.85–$0.90 breakdown extension zone.

• Resistance ceiling: $1.72 now acts as the key level to flip for medium-term bullish momentum. Until price reclaims this barrier, rallies may remain corrective.

The technical picture shows XRP attempting to base after a sharp deleveraging phase. Open interest has compressed, and speculative exposure has cooled. Consequently, volatility could expand once leverage rebuilds.

Will XRP Go Up?

XRP’s short-term outlook depends on whether buyers can defend $1.12 while pushing above $1.72. Stronger spot inflows would strengthen recovery odds. Additionally, sustained momentum with rising ADX could support continuation toward $2.09.

However, failure to hold $1.12 risks breaking the current demand zone. That scenario would expose $1.00 and potentially $0.85. For now, XRP sits in a pivotal range. Momentum builds gradually, but structural confirmation above $1.72 will determine the next decisive move.

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