XRP Reclaims $1.10 Support as Selling Pressure Fades

XRP News

Ripple's XRP is showing its clearest signs of stabilization in weeks, with buyers defending the $1.02–$1.06 demand zone and forcing a short-term shift in market structure. The move followed a liquidity sweep beneath the April lows, where price briefly dipped under support before snapping back and carving out a higher low. XRP has since bounced toward the $1.22–$1.28 resistance band, a region that overlaps the descending 100-day moving average. A decisive reclaim there would strengthen the recovery case and open a path toward the $1.55 supply area, though the broader bear market structure on the daily chart keeps XRP well below its all-time high.

A short-term golden cross has formed on the XRP four-hour chart, with the 50-period moving average crossing above the 200-period line — a signal that traders and AI trading bots often read as early momentum confirmation. The cross arrives while the altcoin trades in a tight range near $1.10, still lacking a clear fundamental catalyst. Chartwatchers are eyeing a daily close above the 50-day moving average at $1.16 as the first hurdle, followed by the 200-day average at $1.45. A push above $1.40 would mark the strongest signal yet that XRP is escaping its multi-week range rather than merely consolidating within it.

Beneath the price action, XRP Ledger activity has slowed to unusually quiet levels. On-chain data shows the network recorded just 25,350 active wallets in a single session, its second-lowest daily tally of 2026, as engagement thinned during the range-bound stretch below $1.10. Network growth and new-address creation have both cooled, underscoring a market waiting for direction rather than one attracting fresh participants. The subdued footprint contrasts with the more constructive chart setup, and it highlights a recurring tension: technical signals are firming even as the underlying ledger sees some of its lightest usage in recent memory.

The XRP derivatives market is still working through a deleveraging phase that began in mid-June. Derivatives open-interest data shows XRP open positions on one major venue fell from above $500 million to $431 million by July 4, then slid further to roughly $399 million by July 10. Over the same window, long liquidations surged 94% week-over-week and ran 172% above their three-month average, while short liquidations dropped 53%. The steady drawdown in open interest signals that leveraged capital continues to exit XRP futures, a cleanup that often precedes healthier positioning even as it reflects lingering caution among directional traders.

Funding rates have moved in the opposite direction to open interest, hinting at pockets of persistent bullish conviction. The perpetual funding rate on one large exchange briefly turned negative in late June before rebounding 266% on a weekly basis to around 0.007%. With open interest shrinking while funding climbs and long liquidations mount, the remaining or newly opened longs are paying an increasingly rich premium to stay positioned. Analysts highlight that this configuration — a contracting futures market paired with rising funding — can leave price more vulnerable to sharp funding-rate resets if momentum stalls, a dynamic worth watching closely.

On-chain metrics paint a steadier picture than the futures market. Active addresses on the XRP network sit about 11% below their three-month average, signaling that broad-based participation has yet to fully recover. Transaction counts, however, edged up roughly 3–4% on both a weekly and monthly basis, even as they remain 21% under the quarterly mean. Notably, the network-value-to-transactions ratio — a gauge comparing XRP's market value to on-chain throughput — has been easing, suggesting the earlier deterioration in usage may be slowing and that ledger activity could be stabilizing beneath the surface.

COINOTAG's proprietary 42-indicator composite S/R scoring engine rates the $1.1841 resistance at 99/100, its strongest overhead level, driven by the confluence of Supertrend, Donchian Upper and the recent swing high, with the $1.1475 band close behind at 95/100 from ATR Upper and the Ichimoku Kijun. On the downside, our engine scores $1.0978 support at 98/100, anchored by ATR Lower and Fibonacci confluence. Derivatives skew heavily long — a 3.28 long/short ratio (76.6% long) with positive funding and $653 million in open interest — while the Fear & Greed Index sits at 26 (Fear) and RSI reads 47.77 with Bitcoin dominance elevated at 69.5%. A daily close back below $1.0978 would invalidate the recovery thesis; reclaiming $1.1841 flips the bias bullish.