XRP News Today: XRP Clings to $3.00 Support Amid $845M Profit-Taking and Bearish On-Chain Signals

XRP, a top-tier cryptocurrency by market capitalization, has entered a critical phase as it trades sideways near $3.15, barely holding above the key $3.00 support level following a sharp decline from its recent peak of $3.66 [1]. On-chain data reveals over $845 million in realized profits within 24 hours, marking one of the largest single-day gains this month. This surge in profit-taking, combined with rising exchange inflows and a weakening market sentiment, has raised concerns about further downside risks. Analysts note that prolonged selling pressure could test the $3.00 support level, with potential targets at $2.65 or lower if bearish momentum persists [1].

The asset’s struggle to regain upward momentum is compounded by shifting behavior among long-term holders. The “Liveliness” indicator, which tracks the movement of tokens held for extended periods, has reached its highest level in over four months. This signals increased activity from previously inactive holders, often interpreted as a bearish signal when experienced investors begin offloading assets ahead of potential price declines [1].

Exchange inflows have also spiked, with a noticeable rise in XRP transfers to centralized platforms. Such activity typically precedes selling during periods of market stress, especially when coupled with weak derivatives trading and reduced buy-side leverage. Momentum indicators like the MACD and declining open interest in futures contracts further reinforce the short-term bearish outlook [1].

While the $3.00 level remains unbroken, it has not yet faced a decisive test in this price cycle. A breakdown below this threshold could trigger accelerated selling, particularly in the absence of strong buying interest to reinforce support. Conversely, a successful defense of $3.00 may lead to a consolidation phase, potentially setting the stage for a recovery. However, without renewed demand, the current trajectory suggests continued volatility.

The market’s focus remains on whether buyers will step in to stabilize the price or if the downward trend will intensify. Historical patterns indicate that post-rally periods often involve profit-taking and distribution by long-term holders, aligning with XRP’s current dynamics. If speculative activity wanes and selling pressure continues, the next key test will be the sustainability of the $3.00 support [1].

Source: [1] XRP Alert: $845,000,000 XRP in One Day – Major Shift Coming? (https://coinmarketcap.com/community/articles/6888a03f94f7305e9acbbf11/)