XRP News Today: XRP Support Flip at $3.00 Sparks 6.45% Bounce Amid LTH Profit-Taking and Consolidation

XRP is currently in a consolidation phase following a pullback in July 2025, marked by a significant profit-taking event among long-term holders (LTHs). On-chain metrics indicate that LTHs realized over $2 billion in gains during this period, with a notable spike of $375 million on July 24, contributing to a 10.33% intraday price drop from $3.55 [1]. This selling pressure coincided with a structured distribution into support levels, which analysts suggest could precede a breakout pattern similar to the one observed in the fourth quarter of the previous year [1].

The price action has shown signs of a potential support flip at the $3 level, where buying pressure validated a 6.45% bounce. This development aligns with historical behavior where previous resistance levels turned into demand zones, setting the stage for renewed buying momentum. If market risk appetite improves, the asset could see a significant move upward, with a price target of $5.40 implying an 80% upside from current levels [1].

The technical setup includes key levels to monitor. Immediate support is at $3.00, while resistance is concentrated around $3.55, where the July LTH sell-off and cost basis overlap. A sustained move above this level could confirm the continuation of a bullish trend, particularly under favorable macroeconomic conditions [1].

The current price structure mirrors previous cycles, with on-chain realized gains and liquidity metrics suggesting a potential re-accumulation phase. Historically, similar support flips have led to multi-week rallies, especially when supply pressures ease and buyer momentum returns. For example, the flip of the $2 level last year preceded a 60% rally to $3.35 by mid-January [1]. If the current pattern repeats, a November-style upward move could materialize.

However, it is important to note that the analysis is based on price structure and historical on-chain signals. It does not constitute investment advice. Investors are encouraged to use the outlined levels in conjunction with other tools such as exchange order books and liquidity metrics to form their own views [1].

The July pullback, driven by concentrated LTH selling, highlights the significance of on-chain indicators in understanding market dynamics. The $375 million sell-off on July 24 was primarily triggered by LTHs reaching cost basis near $3.55, a common behavior at cyclical tops [1]. While realized gains are a reliable indicator of supply distribution, they should be interpreted in the context of broader liquidity and sentiment measures to avoid false signals [1].

Overall, the XRP price structure suggests a period of consolidation following a structured distribution event. If support at $3 holds and risk-on conditions return, a repeat of the Q4 breakout could be on the horizon. Investors are advised to monitor key levels and on-chain activity for confirmation of a potential upward move [1].

Source: [1] XRP Could Replay Q4 Pattern as LTH Profit-Taking and Support Flip May Signal Next Breakout (https://en.coinotag.com/xrp-could-replay-q4-pattern-as-lth-profit-taking-and-support-flip-may-signal-next-breakout/)