XRP remains below a long-term downtrend line, with recent prices consolidating between support at $1.04 and resistance at $1.10 to $1.12. As the trading range continues to narrow, the market is focusing on the next directional move.
$1.10 to $1.12 is a short-term watershed.
From a weekly chart perspective, XRP has been forming lower highs since its year-to-date high, but there is still buying support in the $1.04 to $1.05 range. The current resistance level coincides with a previous support-turned-resistance area, making $1.10 to $1.12 the most crucial short-term range.
If the weekly chart closes above this range, the recent bearish structure may be broken, and the price could test $1.20 further. Conversely, if it falls below $1.04, the next support level will move down to around $0.93.
The liquidation hotspot is concentrated above $1.10.
CoinGlass's liquidation heatmap shows a significant accumulation of short liquidation positions above $1.10 to $1.12. This suggests that if the price breaks through resistance, the forced liquidation of short positions could push up buying pressure and amplify the upward movement.
Below, some long positions are liquidating at $1.04 and lower. If this support level is breached, a new round of long liquidation could occur, further accelerating the decline.
- The upside target range is $1.10 to $1.12.
- Key support level below: $1.04
- Next support level: $0.93
Open interest stabilized, and leverage sentiment cooled.
After a significant decline, open interest has stabilized, indicating that high-leverage positions have cooled somewhat. Recent OI (Open Interest Index) has rebounded slightly, suggesting some traders are re-entering the market, but it remains below previous highs.
If subsequent price increases are accompanied by a sustained increase in OI (On-Index), it usually indicates the entry of new funds, and the upward trend is more likely to continue. If prices rebound but OI does not increase significantly, it is more likely driven by short covering rather than by new buying.
Overall, XRP remains in a phase of uncertainty regarding its direction. The resistance zone of $1.10 to $1.12 and the support level of $1.04 remain the core price range for determining the next round of price fluctuations.
