XRP trades narrowly after a volatile stretch, staying above short-term support as market participants turn to renewed risk aversion. Strategists warn that a deeper pull towards $1.55 is possible before an attempt at a structural correction towards the $7-$27 corridor.
news background
- The token remained stable during Thursday’s Asia-US crossover, consolidating between $2.34-$2.39 after a sharp rally earlier in the week.
- Volume surged to 42.23 million at midday on October 18 at $2.39 – almost double the 24-hour average – before fading into a tight range near $2.35.
- Market sentiment remains cautious amid $19 billion of cross-crypto liquidations as trade tensions escalate.
- Ripple’s proposed $1 billion capital raise and the SEC’s ongoing review of its six spot XRP ETF filings are shaping the situation. Institutional desks report light leverage exposure and rotation into cash collateral as traders prepare for policy headlines and macro catalysts.
price action summary
- XRP moved in a small 2% range in the October 18-19 session and reached near $2.34. Bulls briefly retested the $2.39 range before sellers reloaded.
- Volume decreased in the back half of the day – a classic pre-break compression.
- XRP rose from $2.34 to $2.35 on turnover of 590K in the last hour (07:10–08:09 UTC), suggesting that the earlier decline may have been a false break rather than a clear trend reversal.
technical analysis
- The price structure remains neutral-to-bullish while XRP is trading above the $2.34 support. Intraday action shows an accumulation pocket forming within the $2.34-$2.35 band, with clear resistance near $2.39.
- Momentum models show decreasing volatility and RSI resetting after prior overextension.
- A decisive break above $2.39 reopens $2.47, while failure to hold $2.34 exposes the $2.28-$2.31 cluster. If broader risk-off sentiment intensifies, long-term technicians indicate a potential 40% correction towards $1.55 – a move that could set the stage for the next cyclical advance.
What are traders looking for?
- Desks are watching ETF headlines on October 25 as a potential volatility trigger. Reclaiming $2.40 with volume confirmation could ignite the next wave towards $2.65.
- Macro traders remain wary of the Fed’s language regarding US-China tariff developments and liquidity – both of which are seen as catalysts for the next impulsive move.