XRP News Today: XRP Trapped in Sideways Consolidation as Bearish Indicators Gain Momentum

XRP’s price remained in a sideways consolidation pattern on July 31, 2025, trading at $3.12 with a market capitalization of $185.20 billion and a 24-hour trading volume of $5.3 billion. The coin oscillated between $3.04 and $3.17 during the session, drawing attention from traders as it approached critical technical levels. Short-term price behavior suggested a micro-consolidation phase following a rejection at $3.179, marked by five consecutive bearish candles and a potential bull flag formation if the $3.12 support level holds [1].

On the 4-hour chart, the asset reflected a bearish-to-neutral bias, with a descending triangle pattern emerging after a peak at $3.332. Despite two successful tests of the $3.00 support, upward follow-through remained absent, raising concerns about the sustainability of the bullish trend. Analysts noted that selling volume had outpaced buying, further reinforcing bearish sentiment. A failure to break decisively above $3.20 could lead to another test of the $3.00 level [1].

The daily chart highlighted a broader correction after a strong rally from $2.07 to $3.66, with XRP currently consolidating between $3.10 and $3.20. This range suggested a possible distribution phase or the early stages of a trend reversal. Volume surged at the peak before declining, a common sign preceding a reversal. The formation of lower highs increased the risk of further downside unless the price breaks above the $3.40–$3.66 resistance corridor with significant volume. For now, the short-term bias remains neutral to bearish [1].

Oscillator readings provided a mixed picture of market sentiment. The RSI at 57.65 indicated neutral momentum, while the Stochastic oscillator at 25.30 pointed to a modest oversold recovery. The CCI at −17.82 and the ADX at 43.93 both reflected weak directional strength. The Awesome oscillator remained neutral at 0.336, while the momentum indicator at −0.416 and the MACD at 0.1527 reinforced a bearish outlook [1].

Moving averages revealed a divergent market structure. Short-term indicators like the 10-period EMA and SMA generated bearish signals, but medium- and long-term averages such as the 50-period and 200-period EMAs remained bullish. This divergence suggested that while near-term pressures persist, the longer-term uptrend could remain intact [1].

On-chain data revealed a decline in futures open interest from $10.94 billion to $8.57 billion since July 22, signaling reduced speculative positioning. Trading volume also dropped significantly, from $41.23 billion on July 18 to $10.6 billion, raising concerns about the potential weakening of the $3.00 support level [4].

The bearish crossover in the MACD last week issued a sell signal that could prompt traders to take profits or cut losses. The RSI at 59, down from overbought levels, suggested that upward pressure had eased, but the absence of panic selling indicated gradual accumulation rather than bearish capitulation. However, the bearish crossover in the MACD pointed to continued sideways or downward movement in the near term [4].

Key resistance remains at $3.32, with bulls aiming to reclaim the July 18 high of $3.66. A break below $2.95 could trigger a test of support levels at the 50-day EMA ($2.76) and 100-day EMA ($2.54), offering potential floors for a corrective bounce [4].

The broader market environment, including the Fed’s decision to maintain interest rates in the 4.25%–4.50% range, contributed to a more cautious trading atmosphere. The White House’s new 160-page digital asset policy report, expected to provide clearer regulatory guidelines for tokenized equities and Treasury assets, remains under observation by analysts. While the market has yet to react strongly to the report, its implications for the future regulatory landscape of digital assets in the U.S. are significant [4].

Ethereum’s resilience above $3,800 and signs of whale activity and institutional inflows suggest ongoing accumulation in the crypto sector, reinforcing longer-term bullish sentiment. However, for XRP, the immediate outlook remains uncertain amid mixed technical signals and the potential for continued consolidation [4].

Source: [1]XRP Price Watch: Momentum Indicator and MACD Turns Bearish Amid Sideways Action (https://api.news.bitcoin.com/wp-json/bcn/v1/post?slug=xrp-price-watch-momentum-indicator-and-macd-turns-bearish-amid-sideways-action)

[4]Ethereum Price Forecast: ETH Turns 10 Close to Year-to-Date Highs as Fed Decision Looms (https://www.fxstreet.com/cryptocurrencies/news/ethereum-price-forecast-eth-turns-10-close-to-year-to-date-highs-as-fed-decision-looms-202507301300)