XRP News Today: XRP Price Faces Further 18% Drop as Bearish Signals Intensify

Generated by AI AgentCoin World
Wednesday, Aug 20, 2025 3:50 pm ET1min read
XRP
--
Aime RobotAime Summary

- XRP faces potential 18% drop below $2.95 support, with technical patterns and on-chain data signaling continued bearish momentum.

- Weakness confirmed by XRP/BTC pair's declining RSI (75→43) and daily active addresses dropping 94% to 33,000 since March.

- Negative 90-day CVD and 51% transaction volume decline highlight intensified selling pressure and reduced market confidence.

- Over 91% of XRP supply held at profit suggests prolonged profit-taking could extend the downtrend toward $2.24 support.

XRP's price movement has shown signs of a continued downtrend, driven by multiple technical and on-chain signals. The cryptocurrency has dropped 23% from its multi-year high of $3.66 and is currently trading below a bearish descending triangle pattern on the daily chart, suggesting the potential for a further 18% decline toward $2.40 [1]. This pattern, defined by a horizontal support line and a descending upper trendline, was confirmed as the price broke below $2.95 on Tuesday [1]. Historical data indicates that regaining the key $3 support level would be necessary to avoid a deeper correction to $2.24 [1].

XRP’s bearish divergence is further reinforced by the behavior of the XRP/BTC pair and the relative strength index (RSI). The XRP/BTC pair formed higher lows between July 10 and August 18, while the RSI declined from overbought conditions at 75 to 43, signaling weakening momentum and potential exhaustion among buyers [1]. A continued descent in the XRP/BTC pair below a critical support zone between 0.0000245 BTC and 0.0000250 BTC could accelerate the bearish trend [1].

On-chain data also points to a cooling in

XRP
network activity. Daily active addresses (DAAs) have dropped significantly, from a peak of 608,000 in March to around 33,000, reflecting reduced user engagement and transaction activity [1]. The number of daily transactions has also declined by 51%, from 2.5 million in June to 1.25 million, indicating a possible loss of confidence in XRP’s near-term potential [1]. Lower transaction volume often leads to reduced liquidity and buying momentum, which can further pressure the price.

Additionally, the 90-day spot taker cumulative volume

delta
(CVD) remains negative, suggesting that selling pressure has intensified since mid-July [1]. The negative CVD, as seen in the data from CryptoQuant, indicates traders taking profits and shifting control to sellers [1]. With over 91% of the XRP supply still held at a profit, continued profit-taking could prolong the downward movement [1].

Taken together, these indicators—chart patterns, divergence, on-chain activity, and volume dynamics—paint a coherent picture of a cryptocurrency under pressure. While no investment recommendation is made here, these factors suggest that XRP may remain vulnerable to further declines in the near term [1].

Source:

[1] XRP’s price downtrend could continue: Here’s 4 reasons why (https://cointelegraph.com/news/xrp-s-price-downtrend-could-continue-here-s-4-reasons-why?utm_source=rss_feed&utm_medium=rss%3Fsid%3Dd965a6811c5cf25b%26_t%3D175****699111&utm_campaign=rss_partner_inbound)