XRP continues to trade within a tight $2.78-$2.85 range as institutional selling pressure and rising leverage risks create headwinds for the cryptocurrency. Exchange reserves have reached nine-month highs with 440 million tokens distributed over the past month, while futures open interest approaches $9 billion, signaling increased market risk.
Market Context
XRP showed minimal movement in recent trading sessions, opening near $2.83 and settling at $2.82. The token faced strong rejection at the $2.85 resistance level despite a brief rally that saw trading volumes spike to 123 million tokens - double the daily average - indicating significant institutional activity around key price levels.
Price Movement Overview
- XRP traded within a narrow 2% range between $2.79 and $2.85
- The $2.85 resistance level proved formidable with clear rejection patterns
- $2.78 support held consistently amid high-volume defensive buying
- Late-session activity showed distribution patterns with 1.6 million token prints
- Declining volume near session close suggested potential selling exhaustion
Technical Perspective
Multiple rejections at $2.85 have established this level as a significant supply zone, while $2.78 remains the critical support pivot. Growing exchange inflows and ongoing distribution from large holders increase near-term downside risks, particularly with futures open interest nearing $9 billion. However, repeated successful defenses of the $2.78 level indicate institutional accumulation at current prices.
Key Market Factors
- Sustainability of $2.78 as the primary support level
- Potential leverage unwinding adding volatility to price movements
- Balance between whale distribution and dip accumulation activity
- ETF developments and Federal Reserve policy as potential range-breaking catalysts