Amid general market uncertainties, XRP is drawing attention for less positive reasons as several technical and on-chain indicators signal growing selling pressure.
Declining Interest in XRP: Sentiment Indicators
In a context of widespread caution in the market, XRP traders' activity shows a clear decline in short-term confidence. Notably, on Binance, the Estimated Leverage Ratio (ELR) recently dropped to 0.36, the lowest weekly closing level this month. This indicator measures the ratio between open interest and exchange reserves of an asset, often interpreted as a barometer of speculative appetite. The decline in ELR reflects a more defensive attitude among operators, supporting current capital flow data.
Technical Levels Under Watch: Increased Risk of Pullback
Current technical levels of XRP also raise concerns. Persistent selling pressure is pushing the cryptocurrency towards critical support levels. As selling pressure intensifies, XRP risks falling to $2.71, an important support level. Should this level break, a further drop to $2.50 is also possible. However, a bullish scenario remains technically feasible if buying momentum increases, potentially breaking the $3 threshold.
Conclusion: Ongoing Market Pressure
If current bearish pressure confirms, XRP may face a new correction wave, contrary to recovery hopes that arose in recent weeks. The situation remains delicate, with technical signals indicating the potential for continued consolidation or even sharper declines.
The situation in the XRP market requires close monitoring of capital flows and trader positioning in derivatives to identify possible reversal signals.
