During the recent assessment, $XRP was priced at $1.18202, experiencing a decline of 1.85% for the day. The price hit an intraday low of $1.17668, edging closer to the $1.1800 mark. This downward movement followed several weeks of falling values, indicating that sellers had taken charge within the 4-hour timeframe.
$XRP Dips Below $1.23
The recent downturn for $XRP aligns with a widespread selloff in the cryptocurrency sector. The cryptocurrency has suffered a significant 17% drop within a single trading session, marking its sharpest decline since 2025. Additionally, it has fallen below the $1.25 mark, accumulating nearly a 30% loss over the week.
This selloff has decreased $XRP’s market capitalization to $75 billion, a stark contrast to its peak of $210 billion in July 2025. The simultaneous drop in price and market valuation complicates recovery efforts, especially as market charts display persistent signs of weakness.
On the 4-hour chart, $XRP fell below the swing low of $1.2355 just moments before this analysis, confirming a significant structure break. This shift corroborated the trend of lower highs and lower lows that emerged after the swing high of $1.3414.
Significance of $1.2355 as Resistance
The breach below the $1.2355 level has transformed how traders perceive this price point. Once a support level, $XRP’s close below it has transformed it into a potential barrier.
Traders who acquired the token around this level are now facing losses. Should the price return to $1.2355, some may take this chance to exit their positions, potentially intensifying selling pressure.
The recent downturn has also positioned $XRP beneath the lower volatility band at $1.2186. This situates the asset in an extended band territory, indicating that selling has surpassed its typical statistical range. Such scenarios could facilitate a rebound towards average pricing before broader bearish movements resume.
The STC indicator offers further insights into the current 4-hour structure, with recorded plot values of 1.29555, 1.21724, 1.25640, 1.26861, 1.34000, and 1.23393.
The last high of 1.34000 identifies the previous peak, while the last low of 1.23393 highlights the disrupted support area associated with the latest break of structure, which is near $1.2355, now an essential resistance point.
$XRP Confronts Additional Resistance
$XRP encounters resistance from two key moving averages: the 21-period exponential moving average (EMA21) at $1.2578 and the 55-period exponential moving average (EMA55) at $1.2703.
Both moving averages are trending downwards, with EMA21 situated below EMA55, illustrating a bearish trajectory and suggesting that any potential recovery may meet selling resistance at both points.
The recent 4-hour candle demonstrates the challenges buyers face in elevating prices. $XRP opened at $1.20357, achieving only $1.20592 before sellers intervened once more. This behavior implies buyers are struggling against persistent selling pressure above the current price point.
The prior swing high of $1.3414, which remained unchanged ten bars prior to this analysis, further underscores the bearish sentiment.
With the EMA21 at $1.2578 and EMA55 at $1.2703, $XRP must navigate multiple resistance points to establish a more robust recovery. The distance between the current price and these moving averages offers sellers additional leeway to maintain pressure during any upward movements.
Possible Short-Term Recovery May Favor Sellers
$XRP might experience a brief recovery as its price has dipped under the lower volatility band. An ascent toward EMA21 at $1.2578 is feasible, with the $1.2355 zone also holding importance. However, how $XRP responds around these levels could determine whether buyers regain some leverage or if sellers push the price lower again.
A failure to maintain gains around this range would reinforce the bearish outlook. A long upper wick followed by a failure to sustain increases would indicate that sellers remain prevalent around resistance levels, potentially using the recovery to intensify selling pressure.
Until $XRP can close above this resistance area, the 4-hour chart continues to lean in favor of sellers.
$1.12 Emerges as the Next Target for Downside Movement
Meanwhile, the initial level that sellers need to breach is $1.1800, which corresponds closely with $XRP’s current price at $1.18202 and its intraday low of $1.17668. A decline below this zone would direct attention to $1.1500, which might provide some support as the price continues its decline.
Should the price drop below $1.1500, focus would shift to the $1.1200 level, representing the next target for sellers if selling pressure increases and buyers cannot defend the prices above this point.
Nonetheless, the bearish perspective has a clear invalidation threshold. A 4-hour candle closure above the EMA55 at $1.2703 would signify a weakening of the current structure and imply that sellers have lost their grip on the market.
This would suggest that buyers have absorbed the recent downturn, pushing prices back above a vital resistance level.