Ripple (XRP) declines for a second day in a row, trading around $1.07 at the time of writing on Tuesday. The remittance token has continued to sustain a bearish outlook, aligning with the broader cryptocurrency market.
XRP Ledger activity gains momentum
Large volume holders on the XRP Ledger (XRPL) are showing interest in the token, as evidenced by the number of wallets with between 100 million and 1 billion XRP, which sharply increased to account for 11.98% of the total supply on Tuesday, up from 10.66% last Saturday. If whales keep increasing their risk exposure, higher demand will absorb the selling pressure, allowing for a sustained recovery.
The number of active users on the XRPL is also expanding. According to Santiment, active addresses interacting with the protocol by either sending or receiving stood at nearly 17,000 on Tuesday, after tagging approximately 37,000 the day before. Looking back, active participation had dropped to 20,000 on July 20, underscoring growing interest in XRP as the price nears the $1.00 critical support level.
Technical Analysis: XRP sellers retain control
XRP trades at $1.07, keeping a bearish near-term bias as it remains below the 50-day Exponential Moving Average (EMA) at $1.12 and the Bollinger middle band at $1.09. The 100-day EMA at $1.20 and the 200-day EMA at $1.39 stay well above price, reinforcing a broader downside skew.
The Moving Average Convergence Divergence (MACD) indicator holds marginally below the zero line on the daily chart, and the Relative Strength Index (RSI) at 45 suggests subdued, slightly negative momentum rather than an oversold condition.
On the topside, initial resistance emerges at the Bollinger middle band near $1.09, followed by the 50-day EMA at $1.12 and the Bollinger upper band at $1.14, with higher hurdles at the 100-day EMA at $1.20 and the 200-day EMA at $1.39. On the downside, the first notable support is aligned with the Bollinger lower band around $1.05, where a break would open the door to further weakness in the pair.
(The technical analysis of this story was written with the help of an AI tool. Know more.)
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