XRP May Drop Toward $1 If Downtrend Continues After Breach Below $2.50; Recovery May Require Reclaiming $2.60–$2.70

• Massive daily decline: XRP fell through 50/100/200-day averages and lost ~25% since Oct. 1

• XRP currently trades near $2.23; key short-term resistance lies at $2.60–$2.70

• Volume spikes and forced liquidations accompanied the fall, indicating capitulation-style selling

XRP price decline accelerates — XRP down ~25% since Oct. 1, trading near $2.23. Read our COINOTAG analysis and next-step scenarios for traders and investors.

Published: 2025-10-17. Updated: 2025-10-17. Author: COINOTAG

What is causing the XRP price decline?

XRP price decline accelerated as the token breached multiple long-term moving averages and key support levels, triggering heavy sell orders and liquidations. Technical breakdowns combined with a sharp volume surge indicate a market-driven collapse in structure, leaving the next meaningful demand zones substantially lower.

• Massive daily decline
• XRP rapid recovery

The price action of XRP has entered a period of unrelenting decline, and the asset is currently in what can only be called free fall. The market structure has totally collapsed, and there are no significant support areas left between the current levels and the psychological threshold of $1.00, which may soon be reached if selling pressure persists.

Massive daily decline

Right now, XRP is trading at about $2.23, which is one of its most aggressive multi-day declines in months. Since Oct. 1, the asset has lost almost 25% of its value, dropping below its major support levels, which were the 50-, 100- and even 200-day moving averages. It is clear from this cascade through long-term trend lines that bearish momentum has solidified.

XRP/USDT Chart by TradingView

The collapse quickened after XRP broke through $2.50, a crucial level that had offered stability during previous declines. Below that, there is little historical liquidity until much lower ranges, making the chart practically unexplored for bulls. Forced liquidations and panic selling, which are classic signs of capitulation phases, are evident in the sharp volume spike that accompanied the initial crash.

The bearish argument is strengthened by the deep weakness displayed by momentum indicators. Near 29, which technically indicates oversold conditions but also represents exhaustion with no indications of a reversal, is the Relative Strength Index (RSI). Prior to any significant recovery, this type of momentum collapse frequently results in protracted downtrends or grinding price action, particularly after losing structural support.

Can XRP recover to $2.60–$2.70 in the short term?

Recovery to the $2.60–$2.70 region would require a sustained increase in buying volume and successful reclaims of the broken moving averages. Short-term relief rallies are possible on oversold readings and bargain buying, but without a clear uptick in traded volume and a return above the 50-day moving average, the path of least resistance remains lower.

XRP rapid recovery

The path of least resistance is still downward unless XRP can swiftly recover the $2.60-$2.70 region. Considering the severity of the sell-off, even the next possible demand zone, which is located between $1.80 and $1.90, appears precarious. A complete retest of the $1.00-$1.20 range, which was last seen prior to the midyear rally, is looking more likely.

XRP’s market has simply run out of floors. There are no immediate catalysts or support levels to halt the price’s decline — it is happening naturally. At $1, XRP no longer seems far-fetched — rather, it appears to be the sensible next step, barring an improbable spike in volume or outside market relief.

Frequently Asked Questions

How low could XRP go if current selling continues?

If selling pressure continues and no major buying interest returns, XRP could revisit the $1.00–$1.20 area, with an intermediate support zone near $1.80–$1.90. This projection is based on historical liquidity gaps and the absence of meaningful support between current levels and those ranges.

Why did XRP drop so quickly — what triggered the crash?

Rapid declines were driven by a breakdown under key moving averages, concentrated sell orders, and volume-driven liquidations. Chart-based technical triggers and order book dynamics, rather than a single news event, appear to explain the acceleration in selling.

Key Takeaways

• Structural breakdown: XRP has breached 50/100/200-day moving averages, signaling technical weakness.
• Limited near-term support: Little historical liquidity exists between current price and lower psychological levels, increasing downside risk.
• Actionable insight: Traders should watch volume and successful reclaims of $2.60–$2.70; risk management is essential given elevated liquidation risk.

Conclusion

COINOTAG analysis shows the XRP price decline has entered a decisive phase, characterized by multi-day losses, sharp volume spikes, and breached long-term trend lines. Market structure points to further downside unless buyers re-establish control above $2.60–$2.70. Monitor on-chain metrics and traded volume for early signs of stabilization; prudent risk controls are advised for both traders and investors.

Sources referenced (plain text): TradingView chart data, on-chain metrics, CoinMarketCap price history, and COINOTAG market desk analysis.