XRP price prediction: XRP steadies near $1.87 as selling pressure eases

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Highlights

XRP holds near $1.87 as downside momentum fades following months of steady decline.
Price remains capped below declining daily moving averages, keeping the trend corrective.
Spot outflows persist while derivatives positioning remains long-heavy and fragile.

Price behavior suggests balance is forming, with sellers no longer pressing aggressively and buyers stepping in selectively near established support. The market is no longer in breakdown mode, but neither side has seized control. XRP is compressing beneath resistance, waiting for a volatility catalyst to define direction.

Technical structure shows compression, not reversal

On the daily chart, XRP remains firmly capped below its declining EMA cluster. The 20-day EMA near $1.94 continues to act as the first layer of resistance, while the 50-day EMA around $2.09 reinforces the broader bearish bias. Higher-timeframe pressure remains evident, with the 100-day and 200-day EMAs positioned well above price near $2.28 and $2.38.

XRP price dynamics (Source: TradingView)

This stacked configuration confirms that the dominant trend remains downward, and recent rebounds should still be treated as corrective rather than trend-forming. Structurally, XRP is carving out lower highs while maintaining a gradually rising base around the $1.8-$1.85 zone. This has created a slow compression pattern, suggesting absorption of supply rather than capitulation.

Momentum indicators reflect that equilibrium. Daily RSI is holding near the low-40s, a neutral zone that signals fading downside pressure without signaling accumulation urgency. Sellers are losing follow-through, but buyers have not yet shown conviction through momentum expansion. Historically, this type of RSI behavior often precedes a directional move, though timing remains uncertain without a volume or volatility trigger.

Short-term recovery attempts remain fragile

Short-term structure adds nuance to the picture. On the 30-minute chart, XRP has flipped its Supertrend back to the upside, reclaiming the $1.84-$1.85 area following a sharp intraday flush. Parabolic SAR dots have shifted beneath price, confirming short-term stabilization rather than continuation lower.

However, this rebound is still unfolding inside a broader downtrend channel. Price remains vulnerable unless it can build acceptance above $1.9. For now, intraday buyers are active, but they are trading rebounds rather than positioning for trend transitions. Without follow-through above short-term resistance, rallies risk fading back into range.

Flows and positioning highlight hesitation

On-chain flow data adds important context. Spot netflows have remained predominantly negative through December, including a modest outflow of roughly $6.5M in the latest reading. This suggests continued exchange withdrawals rather than aggressive distribution, but it also confirms that large-scale spot accumulation has not returned. Price weakness is being absorbed calmly, yet demand remains selective rather than decisive.

Derivatives data paints a mixed picture. Trading volume has risen close to 20%, while options activity has surged, signaling increased positioning rather than directional clarity. Open interest has eased slightly, indicating leverage reduction rather than fresh risk buildup. Long-to-short ratios remain skewed toward longs across major venues, particularly among top traders, which introduces downside risk if price fails to follow through.

Liquidation data reinforces this vulnerability. Long liquidations have outpaced shorts over the past 24 hours, suggesting that bullish positioning continues to be pressured during range-bound conditions rather than rewarded.

As discussed in earlier XRP coverage, the post-July decline has been defined by controlled distribution rather than panic selling. That character remains intact. Despite improving market structure, XRP has yet to see the spot inflows and volume expansion typically required to confirm a durable trend shift.

XRP is consolidating, not breaking down or breaking out. The $1.8-$1.83 zone remains critical structural support, while $1.94 and $2.05 represent the first resistance levels bulls must reclaim to shift the narrative. Until price can close decisively above the 20- and 50-day EMAs with improving spot inflows, rallies are likely to remain tactical rather than trend-defining. For now, XRP continues to digest prior excess, waiting for renewed demand or a volatility catalyst to resolve the compression.

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