XRP: Between Falling Demand and Price Resilience

In recent days, XRP has shown a pattern of consolidation with its price holding above US$2.

However, this altcoin is facing challenges in maintaining its upward price momentum.

One of the key indicators of declining investor interest is the number of new addresses associated with XRP, which has hit a five-month low.

This decline signals a reduction in new capital inflows into the asset, which could affect XRP’s ability to sustain or increase its value.​

Technical Indicators Show Weak Momentum

Based on information quoted from Beincrypto, from a technical analysis perspective, the Relative Strength Index (RSI) for XRP is below the neutral line of 50.0, indicating that the altcoin remains in a bearish zone.

This condition reflects a lack of bullish momentum needed to significantly push the price upward.

Additionally, broader market sentiment is also trending bearish, which could further suppress XRP’s potential for price recovery.

Potential Price Correction If Support Fails

Currently, the price of XRP is around US$2.10, with the nearest resistance at US$2.16.

If the price fails to break through this resistance and instead falls below the support level of US$2.02, there is a possibility of a further correction down to US$1.94 or lower.

This condition highlights the importance of new demand to support the price and prevent further decline.​

Considering the above factors, XRP is in a vulnerable position for further price decline if there is no increase in investor interest and fresh capital inflows.

Investors and traders are advised to closely monitor technical indicators and market sentiment before making investment decisions regarding XRP.