XRP is trading near $1.20 after an 8.14% drop, and the next move depends on one level. If buyers fail to defend support, the token could slide toward $1.10. Wednesday's post-midterm rally is
XRP is trading near $1.20 after an 8.14% drop, and the next move depends on one level. If buyers fail to defend support, the token could slide toward $1.10.
Wednesday's post-midterm rally is gone. Bitcoin fell from above $81,000 to $75,500, and Ethereum dropped from $2,450 to $2,230. The total crypto market lost 5% and now sits at $2.65 trillion.
Wall Street set the tone. The Nasdaq Composite fell as much as 5.52% at the open, and the S&P 500 dropped about 3.5%.
Chip stocks took the worst hit. The Semiconductor Index fell 10%, led by Nvidia, AMD and Qualcomm.
Traders link this to the midterm results. Democrats now control the House and Senate, and investors fear tougher rules on data center building. Less AI spending could mean less chip demand, and crypto followed tech lower.
Reports that the US military is preparing for a possible return to major combat in Iran added to the stress. A Democratic crypto market structure bill could also give the SEC more oversight and limit the CFTC's role.
Futures volume hit $3.38 billion in 24 hours, while spot volume was $788.69 million. Open interest stands at $2.76 billion.
The long/short ratio is 0.8667, so shorts outnumber longs. Liquidations reached $17.97 million, and $17.46 million came from longs. Only $513.55K came from shorts.
That points to traders who bought the rally and got caught. Market cap sits at $76.42 billion, with 63.51 billion tokens in circulation out of a 100 billion max supply.
Ripple-backed Evernorth's XRPN shares have fallen nearly 47% from their $19.39 Nasdaq debut high to a record low of $10.05.
A preliminary SEC filing registers 73.7 million shares for possible resale. That is nearly three times the outstanding Class A stock.
Major backers' lock-ups generally last until April 9, 2027, and no sales are confirmed. Still, the filing can weigh on mood.
On the XRP/USDT daily chart, the price sits near a key horizontal support zone around $1.20 after a breakdown. It keeps making lower highs and lower lows inside a descending channel.
The token trades below the 20, 50, 100, and 200 EMAs. The RSI is near 34.85, which shows weak momentum and sits close to oversold.
Oversold does not mean a bottom. Price can stay weak for a while, and a bounce can fade fast.
Bearish case. A daily close below $1.20 would confirm the breakdown. The next targets are $1.15, then $1.10.
Neutral case. If buyers defend $1.20, a relief bounce toward $1.25 to $1.28 is possible. That would likely be a pause, not a trend change.
Bullish case. XRP needs to reclaim $1.32 to $1.36 and break the descending trendline on strong volume. Without that, rallies may keep running into sellers.
Scenario
Trigger
Possible target
Bearish
Daily close below $1.20
$1.15, then $1.10
Neutral
$1.20 support holds
$1.25 to $1.28
Bullish
Reclaim $1.32 to $1.36 and break the trendline
Above $1.36
Key Level
Price
Resistance
$1.32 to $1.36
Resistance
$1.25 to $1.28
Current price
$1.20
Support
$1.15
Support
$1.10
The current data leans bearish. The trend, the EMAs, and the long/short ratio all point the same way.
Still, nothing is certain. Stock market swings, Iran headlines, and the crypto bill in Congress can change the mood in hours.
A strong daily close above $1.36 would be the first real sign that buyers are back.
This article is for information only and is not financial advice. Price targets are possible scenarios, not guarantees. Cryptocurrency prices are highly volatile, and you can lose some or all of your money. Always do your own research and speak with a licensed financial advisor before making any investment decision.
