XRP is showing respectable gains but continues to follow the broader rally in digital assets, with below-average volume raising questions about the strength of the move as bitcoin surged above $94,000 and broad market liquidations repositioning.
News background
- Bitcoin’s sudden push above $94,000 sparked a broad rally across major cryptoassets, with nearly all large-cap tokens registering immediate upward volatility.
- The move violently liquidated bearish positions across derivatives markets: 107,333 traders were liquidated in 24 hours, totaling $387.5M in forced exits, including a single $23.98M BTC long liquidation on HTX.
- Despite the high-energy macro backdrop, XRP’s reaction was muted relative to peers. The token underperformed the CD5 index by 1.55%, suggesting sector rotation away from XRP during the risk-on swing.
- Institutional flows also failed to accelerate meaningfully as 24-hour volume landed 5.88% below its 7-day moving average despite positive price action.
- This divergence – strong macro rally, weak relative performance – sets the stage for a more nuanced technical perspective in the coming sessions.
Technical Analysis
- XRP maintains a constructive intraday structure with higher highs and higher lows, but the underlying momentum remains inconsistent compared to other majors.
- Support continues to form at $2.05, where several intraday tests held convincingly. The rally toward $2.17 established a new local resistance level, and while the structure remains bullish, the absence of sustained volume expansion limits confirmation.
- Momentum indicators on lower timeframes show softening follow-through after the breakout attempt: the rise at 15:00 produced strong volume rejection at resistance, followed by a gradual pullback to the $2.15-$2.16 range.
- This behavior reflects profit-taking rather than trend reversal, but it also confirms that bulls lack full control until participation widens.
- With Bitcoin pulling the majors higher, XRP’s relative underperformance becomes a technical signal in itself – often a precursor to either delayed upside catch-up or deeper consolidation if macro momentum fades.
Summary of price action
- XRP rose from $2.08 to $2.15, delivering a gain of 4.71% within a trading range of $0.09 (4.3%).
- The breakout towards $2.17 came on a sharp volume breakout of 128.7m. tokens, 147% above the rolling 24-hour average, but post-rally participation fell quickly, confirming short-term hesitancy among major traders.
- Underperformance relative to the broader market reflects capital rotation to higher beta assets during Bitcoin-led rallies, leaving XRP higher but without the explosive pace shown by peers.
What traders should know
- XRP is caught between constructive local structure and weak relative strength. The rally remains intact as long as $2.05 holds, but bulls need to recover and close above $2.17 on growing volume to confirm momentum alignment with broader market flows.
- If Bitcoin sustains levels above $94K, XRP lags historically before accelerating in delayed catch-up moves – making the next 24-48 hours critical for confirmation.
- Keep an eye out for:
• acceleration in volume at any break above $2.17
• failure to expand participation, which could trap the price in a consolidation band of $2.05-$2.17
• broader market liquidation trends which may reallocate capital back to lagging majors like XRP - If $2.05 fails, the next meaningful support is at $1.98-$2.00, where ETF-driven demand has recently provided a stabilizing bid.
