Summary XRP holds above long-term support despite persistent selling. Downtrend remains intact with key EMAs forming a resistance wall. Outflows continue, but sellers fail to break the $1.98 base. By Jainam Mehta XRP ( XRP-USD ) trades near $2.09 after defending long-term support again, but the broader structure still shows an asset trapped beneath heavy resistance. The rebound is steady, yet it lacks the force needed to break the dominant downtrend. XRP continues to grind near $2.09 as buyers defend the $1.98-2.00 support zone for a sixth month. Price remains capped beneath the 20-, 50- and 100-day EMAs between $2.13 and $2.43. This cluster forms a strong supply wall that has rejected every rally since mid-October. The structure still favors slow consolidation rather than a decisive trend shift. Technical bias remains heavy The token trades inside a declining channel and has not reclaimed the mid-September breakdown zone at $2.27. That level remains the first checkpoint for trend reversal attempts. Price compression shows sellers losing momentum, yet the absence of a close above $2.27 confirms control remains with the downside. A move through $2.43, where the 50- and 100-day EMAs converge, would change short-term bias. Until then, each rally risks fading into lower highs. XRP price dynamics (Source: TradingView) On-chain flows highlight the same tension. Netflows remain negative, with a -$7.99 million print on December 8 showing continued distribution during every bounce. Yet, XRP refuses to break below long-term trend support. That divergence signals exhaustion among aggressive sellers and suggests deeper capitulation already occurred earlier in the cycle. Speculation rises, but direction does not Derivatives positioning shows speculative tension rather than conviction. Open interest stands at $3.63 billion with a sharp jump in daily volume to $6.08 billion. Long positions dominate on Binance, with a 2.55 ratio showing traders leaning bullish despite weak momentum. Liquidation patterns underline this uncertainty. Shorts have been squeezed on higher time frames, while longs continue to take losses in shorter windows. The market is trading levels, not direction. Macro catalysts remain limited for XRP, and attention has shifted toward Bitcoin and memecoins. Lower volatility across major altcoins increases the chance of rotation, especially if the Federal Reserve cuts rates and weakens the dollar. A hawkish tone from Powell, however, could mute that appetite. XRP remains highly sensitive to broad risk sentiment because it lacks a near-term narrative catalyst of its own. Key levels define the next move The immediate levels are clear. A close above $2.27 sets up a push toward $2.43. Acceptance above that zone targets $2.70-2.82, where earlier Q4 supply sits. A breakdown below $1.98 ends six months of structural support and exposes $1.84, then $1.72. That shift would change market mood from patient to fearful. For now, XRP sits between pressure and persistence. Sellers keep momentum, but cannot force breakdown. Buyers defend the same zone repeatedly but lack the conviction to reverse trend. Until one side capitulates, the market remains in a tight and frustrating range that rewards level-by-level trading rather than directional bets. Earlier coverage highlighted the breakdown-risk surrounding the $2 trend base. That zone continues to anchor sentiment, and the latest price behavior reinforces its importance as the line that separates slow recovery attempts from a deeper structural reset. This material may contain third-party opinions; none of the data and information on this webpage constitutes investment advice according to our Disclaimer . While we adhere to strict Editorial Integrity , this post may contain references to products from our partners. Original Post
