XRP News Today: XRP Falls Below $3 as Bearish Momentum Gains Strength

XRP is undergoing a significant correction after a sharp July rally that saw it surge to a peak of $3.55, marking a 126.43% gain from its previous low of $1.82. The recent pullback has erased nearly 20% of those gains, with the asset currently trading around $2.81. This downward move is testing crucial support levels, particularly the $2.70–$2.87 range, which analysts view as essential for short-term price stability. If this zone fails to hold, the next key level of support lies between $2.40 and $2.60, a price range that could attract renewed buying interest if XRP stabilizes there [3].

Technical indicators underscore the weakening momentum. The Relative Strength Index (RSI) has fallen to 43.35 from overbought levels above 70, signaling bearish conditions. A bearish crossover in the RSI and its moving average further confirms this trend. Meanwhile, the MACD line at 0.0581 has crossed below the signal line at 0.1460, with a negative histogram reading of −0.0879, reinforcing the bearish bias [3]. These signals suggest that XRP may face continued downward pressure unless strong bullish catalysts emerge.

The broader cryptocurrency market has also seen signs of distress. On August 1, the market recorded over $754 million in liquidations as falling prices triggered margin calls and forced exits from leveraged positions. Ethereum saw a taker sell volume of $335 million in just two minutes, indicating heightened panic or aggressive profit-taking. The Bitcoin Advanced Sentiment Index has also reached bearish levels, reflecting a shift in investor sentiment toward caution and risk aversion [9].

XRP's recent decline has also been accompanied by a large $246 million XRP transfer by Kraken, sparking speculation about market manipulation or large-scale profit-taking [2]. While no direct correlation has been drawn between the transfer and the price movement, the timing has added to the market's sense of uncertainty. The drop below $3 has rekindled fears of a potential breakdown toward the $2.65–$2.70 support range, which, if breached, could exacerbate the downward spiral [3].

In the broader context, the synchronized weakness across major crypto assets like Ethereum and Bitcoin highlights growing fragility in the market. The broader selloff suggests that the recent corrections in XRP are part of a larger trend rather than isolated events [1]. XRP, being one of the more volatile assets, is particularly susceptible to such systemic pressures.

Despite the bearish signs, some analysts remain cautious about the long-term outlook. Holding above $2.60 is seen as crucial to maintaining a bullish structure, while breaking below this level could lead to a deeper correction toward the $2.00–$2.20 range and eventually the historical demand zone near $1.82–$1.57. Stabilization above $2.70 could provide a foundation for a recovery, but without renewed buying momentum, XRP may continue drifting lower before testing major support zones again [3].

While some cloud mining platforms have launched new strategies to capitalize on the downturn, such efforts remain speculative and have yet to impact price action in a meaningful way. Analysts suggest that unless a strong bounce is triggered, XRP could face continued selling pressure in the coming weeks [1].

The current situation underscores the importance of monitoring key support levels as both a line of defense and a signal for further losses. Investors are advised to remain cautious and closely watch price behavior around these critical thresholds as the market continues to evolve.

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Sources:

[1] Bitcoin News Today: XRP Dips Below $3 as Downward ... (https://www.ainvest.com/news/bitcoin-news-today-xrp-dips-3-downward-momentum-gains-strength-ethereum-falls-10-key-support-tests-3-480-bitcoin-slides-7-120-000-resistance-fades-2508/)

[2] XRP Price Prediction: Ripple Price Bounce at $3 Support ... (https://bravenewcoin.com/insights/xrp-price-prediction-ripple-price-bounce-at-3-support-gains-traction-as-kraken-moves-82-million-xrp-to-mysterious-wallet)

[3] Crypto darling XRP under pressure, price dips below $3 (https://m.economictimes.com/news/international/us/crypto-darling-xrp-under-pressure-price-dips-below-3-whats-causing-the-drop-is-a-massive-selloff-coming/articleshow/123042471.cms)

[6] Massive Crypto Liquidations Hit $754M: Bitcoin, Ethereum, ... (https://www.mitrade.com/insights/news/live-news/article-3-1007093-20250802)

[7] XRP Momentum Meets Cloud Mining: Quid Miner Unlocks ... (https://www.farmerscoopelevator.com/markets/stocks.php?article=zexprwire-2025-8-2-xrp-momentum-meets-cloud-mining-quid-miner-unlocks-new-profitability-for-xrp-btc-and-doge-holders-globally)

[8] Ethereum Taker Sell Volume Hits $335M In Just 2 Minutes ... (https://www.coinfi.com/news/1696147/ethereum-taker-sell-volume-hits-335m-in-just-2-minutes-panic-or-profit-taking)

[9] Bitcoin Advanced Sentiment Index Reaches Bearish Levels (https://www.mitrade.com/au/insights/news/live-news/article-3-1006319-20250802)