XRP tests $1.4377 support as oversold conditions limit further selling

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XRP drops 2.32% today to $1.48

Highlights

Absa Bank has made a Ripple-powered digital asset custody service available to corporate clients in South Africa with institutional-grade security.
The service provides a regulated solution aimed at facilitating enterprise participation in the digital asset sector.
XRP/USD trades under short- and medium-term technical pressure with strong downside momentum and is projected to remain within a $1.4377 to $1.583 range, with a greater probability of further declines.

Corporate custody adoption rises as institutional sentiment lags

Absa Bank has launched a Ripple-powered custody service for corporate clients in South Africa, providing institutional-grade security for safeguarding digital assets and managing private keys, according to Tradingkey. This move builds infrastructure that may help drive enterprise adoption by offering a regulated solution for corporate clients operating in the digital asset space. However, price action has remained under broader selling pressure.

Bearish momentum confirmed as price faces resistance and oversold signals

On the technical front, XRP/USD is trading below the MA-20 and MA-50 on the hourly chart, but remains above the MA-200, highlighting a short- to medium-term bearish bias within a longer-term range. The Ichimoku Kijun sits at $1.5149 and acts as immediate resistance, while the $1.4377 level provides the nearest major support. Momentum indicators reinforce the negative outlook: MACD signals Sell, ADX is Neutral, while RSI (33.85), Stoch RSI, and CCI all suggest oversold conditions. Bull/Bear Power indicates seller dominance intraday, and the Awesome Oscillator also points to sustained downside momentum.

Downside risks persist as breakout prospects remain subdued

Over the short term, XRP/USD is likely to trade within a band of $1.4377 to $1.583, reflecting typical volatility around current levels. The probability of an upward breakout is very low, with downside risks dominating. If price loses the $1.4377 support, another leg lower is highly likely. Conversely, a move above $1.5149 would relieve immediate selling pressure and test higher resistance.

Anton Kharitonov, expert at Traders Union, sees volatility elevated and technical signals pointing to further downside for XRP. He notes that institutional news, such as Absa Bank’s launch of a Ripple-powered custody service, has not sparked a positive reaction in price action. Major support at $1.4377 remains critical to watch, with momentum and sentiment both negative. "Until XRP reclaims the $1.5149 resistance, I see no reason to expect a reversal here."

Previously it was reported that Zano had to roll back its blockchain following a critical vulnerability impacting transaction integrity and digital asset supply. The new Ripple-powered custody service by Absa Bank expands institutional infrastructure in South Africa, but given XRP's ongoing downside momentum and technical barriers, traders should closely monitor the $1.4377 support as a potential inflection point for further declines.

Source of Data: XRP Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.