$1.00 support in sight: Ripple Price Forecast as XRP sell-off continues

• $1.10 gives way as XRP declines. The move tracks relentless selling across the wider crypto market.
• Outflows from XRP spot ETFs and lower futures open interest point to continued weak demand from institutions and retail investors.
• A negative MACD histogram and an oversold RSI accompany intensifying bearish pressure on XRP.

$1.00 has given way for Ripple (XRP) at the time of writing on Tuesday. Selling pressure persists, with falling technical indicators restricting the token’s upside and leaving a further decline firmly as the path of least resistance. 

Bitcoin (BTC) has dropped below $75,000 as XRP tracks weakness across the wider crypto market. Now in its sixth consecutive day, that weakness reflects risk aversion fuelled by macroeconomic uncertainty and other factors.

Due later on Tuesday, the United States (US) Consumer Price Index (CPI) report is the next focus for traders. The Federal Reserve (Fed) uses this inflation measure to guide the direction of monetary policy.

$10 million in ETF outflows as XRP demand weakens 

Monday brought $10 million in outflows from XRP spot Exchange-Traded Funds (ETFs), reinforcing the risk-off mood. Activity had already been subdued for four consecutive days from Tuesday last week. With demand for XRP digital investment products lacking, the token has little cushion against headwinds, increasing the likelihood of a prolonged decline.

Longer-term investor interest in the underlying token nevertheless appears positive. Cumulative inflows total $1.8 billion, while net assets under management stand at $1.24. 

In derivatives, activity is still largely muted. Perpetual futures open interest (OI) stood at 2.24 billion XRP on Tuesday, only slightly below the previous day’s 2.26 billion XRP. CoinGlass data also show OI remaining below November’s highs of 2.35 billion XRP and September’s 2.46 billion. A recovery in price may prove difficult if retail demand remains weak, while the likelihood of further selling towards the critical $1.00 zone increases.

$1.08 XRP faces further downside risk: Technical analysis

At $1.08, XRP retains a bearish near-term bias. The token trades well beneath its key Exponential Moving Averages (EMAs) and a descending resistance trendline. Overhead levels include the 50-day EMA at $1.30, the 100-day EMA at $1.30 and the 200-day EMA at $1.35, indicating a firm cap from medium- and longer-term supply. At $1.26, the SuperTrend indicator adds to the view that rallies are corrective moves within a wider downtrend.

Having fallen to around 25, the Relative Strength Index (RSI) is now oversold. The Moving Average Convergence Divergence (MACD) histogram also remains negative. Together, these readings suggest stretched bearish momentum, but no convincing reversal signal yet.

The SuperTrend line near $1.26 provides the first resistance level. Beyond it, the 50-day EMA at $1.29 and the descending resistance trendline’s break level near $1.30 create a confluence band, forming the first major obstacle to a rebound. Higher still, the 100-day EMA at $1.30 and the 200-day EMA at $1.35 define a wider supply zone. Reclaiming that zone would be necessary to soften the prevailing bearish structure.

Further losses remain a risk while XRP stays below this cluster of resistance, with the daily chart offering no clear nearby support levels.

(The technical analysis of this story was written with the help of an AI tool. Know more.)