- XRP breaks support as market fear surges and broader weakness accelerates the ongoing decline.
- Sell-side pressure dominates as indicators soften and open interest drops across XRP markets.
- ETF inflows rise this month yet fail to offset spot losses, leaving XRP under pressure.
XRP extended its slide for a third straight day, shedding 9% in 24 hours to land near $1.29 as broader crypto markets pulled back in a wave of risk aversion. The move tracked the wider slump almost point-for-point, with total market capitalization down roughly 6% and Bitcoin off by a similar margin.
Similarly, sentiment deteriorated fast, reflected in the Fear & Greed Index plunging to 14, a zone traders associate with extreme caution rather than buyers hunting for bargains. The sell-off also unwound the brief enthusiasm seen earlier in the week. XRP had staged a 14% rebound that pushed it to $1.49, a weekly top that did not hold for long.
Sellers stepped in almost immediately, reversing the advance and dragging the price back toward the month’s familiar trading band. However, the decisive moment came when $1.30, a level that had offered support through several tests this month, finally gave way.
Support Breakdown Reshapes Short-Term Structure
The slip below $1.30 changed the tone of trade, pushing XRP into territory it had avoided for most of February. The breakdown did not produce a dramatic cascade, but it cleared out any remaining short-term bullish structure. Traders watching for a rebound now point back to $1.11 as the next significant area that could steady the chart if selling persists.
XRP’s decline mirrored the broader market closely. That synchronization suggests the move was shaped less by token-specific news and more by money flowing out of risk assets across the board. In such stretches, heavily traded altcoins often behave like amplifiers, extending the swings seen in Bitcoin rather than charting their own path.
Indicators Show Seller Dominance
From a technical perspective, market gauges show sellers still leading, though not with overwhelming force. The RSI sits around 34, a reading that hints at fatigue in the downtrend but not enough to call it stretched.
Traders often use this area as a reference point rather than a trigger, noting when the indicator begins to turn rather than when it first approaches oversold territory. Futures markets show a similar drift. Weighted funding has tipped slightly negative at -0.0162%, a sign that short positions are gaining the upper hand.
It is not an extreme reading, yet it reflects a lack of urgency among long traders. Open interest has also thinned by about 8.3% to $2.26 billion. That drop usually signals traders stepping aside rather than betting heavily in either direction, which tends to cool volatility as positions close rather than expand.
Related: Ethereum Slips 5% as Price Stalls in Tight Range: What’s Next for ETH?
ETF Inflows Contrast Spot Weakness
Away from the spot chart, one segment of the market is still leaning positive. XRP investment products have taken in $58.09 million this month, well above the $15.59 million recorded in January. Nonetheless, daily flows remain modest; Thursday brought $2.21 million into Franklin’s XRPZ fund, but the steady accumulation stands out against the price decline.
The disconnect between ETF appetite and spot weakness points to a divided market, with institutional inflows continuing even as retail sentiment softens. Analysts warn against reading too much into the contrast, noting that ETF flows often react on a different timeline than day-to-day trading.
For now, the focus returns to whether XRP can find its footing. The loss of $1.30 and the market-wide downturn frame the near-term outlook, leaving traders to watch how the price behaves around $1.11, or whether broader conditions improve enough for the token to regain momentum.
