XRP (XRP) Price: Massive Selloff Creates Potential Buying Opportunity

TLDR

XRP dropped to $2.11 after breaking below $2.30 resistance level $7.6 million worth of long positions were liquidated in 24 hours, creating a 182% imbalance Price is holding above key support at $2.08-$2.10 zone Technical indicators show oversold conditions with potential for short-term bounce Weekly Fibonacci support at $2.11 remains intact for now

---

XRP has fallen to $2.11 following a sharp selloff that triggered massive liquidations in the derivatives market. The cryptocurrency broke below the $2.30 resistance level, catching many traders off guard.

XRP Price

The selloff resulted in $7.95 million in liquidations over 24 hours. Long positions accounted for $7.63 million of these losses, while short positions only saw $312,760 in liquidations.

This created a 182% imbalance between long and short liquidations according to CoinGlass data. The imbalance shows how heavily traders were betting on XRP’s price to rise.

Source: Coinglass

XRP’s price dropped 5.71% during this period. Trading volume also decreased by 4.71% to $2.8 billion.

The cryptocurrency had been trading in the $2.30 to $2.32 range before the selloff began. Many traders expected a breakout above $2.30 that would push prices toward $2.40 or $2.50.

Instead, XRP broke below rising trendline support on the 4-hour chart. The price tested a key demand zone between $2.06 and $2.10.

This support level aligns with a long-term trendline from April’s low. That same trendline helped fuel XRP’s previous rally toward $2.50.

Technical Indicators Show Oversold Conditions

The Relative Strength Index on both 30-minute and 4-hour charts dropped below 30. The 4-hour RSI is now recovering toward 29.41.

The MACD histogram has flattened and signal lines are converging from oversold levels. These conditions suggest bearish momentum may be exhausting.

The Stochastic RSI on the 4-hour timeframe is reversing upward from oversold territory. It currently reads 62.13 and 67.77, indicating a potential crossover.

However, the Ichimoku Cloud analysis shows continued bearish pressure. Price is trading well below the cloud on the 30-minute chart.

Both the Tenkan-Sen and Kijun-Sen lines are pointing downward. The cloud’s leading span is widening on the downside.

Bollinger Bands on the 4-hour chart show volatile breakdown conditions. Candles are extending outside the lower band near $2.10.

Key Support Levels Hold For Now

XRP is holding above the weekly 0.382 Fibonacci retracement at $2.11. This level is measured from late 2024’s swing low to 2025’s high.

Source: TradingView

A weekly close above this line would keep the broader uptrend technically intact. The $2.08 to $2.10 zone represents crucial support.

If this support holds, XRP could see a relief rally toward $2.18 and $2.22. More significant resistance sits at $2.26, aligned with the midline of the broken Bollinger structure.

The daily chart shows a descending trendline capping upside since May 21. Multiple failed attempts to break above this level have reinforced bearish sentiment.

If the $2.08 zone fails, further downside could expose the $2.00 psychological level. Deeper support sits near $1.92, which marks the 0.618 Fibonacci retracement level.

For bulls to regain control, XRP needs to reclaim $2.22 decisively. The 20-EMA at $2.23 and 50-EMA at $2.24 represent additional resistance levels.

The selloff was triggered by market-wide profit-taking and rejection from the $2.30 supply zone. The technical breakdown below trendline support accelerated selling pressure.

Despite the recent volatility, some analysts remain optimistic about XRP’s longer-term prospects. Speculation continues around a potential SEC-approved XRP ETF.

Institutional adoption, including Ripple’s partnership with Guggenheim, provides fundamental support. Some predictions target $3.20 in the short term.

XRP is currently trading at $2.11 with immediate resistance at $2.22 to $2.26 and support between $2.08 and $2.00.

The post XRP (XRP) Price: Massive Selloff Creates Potential Buying Opportunity appeared first on CoinCentral.