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XRP corrects 20% after peaking near $3.66 in July, and XRP now hovers around $2.92, struggling to hold key support.
Bearish signals, including a descending triangle pattern and weaker on-chain activity, raise downside risks toward $2.40.
Analysts eye bold targets of $8-$25, even $37, if bullish breakouts materialize above $3.50.
XRP, the native token of Ripple’s ecosystem, has entered a corrective phase after a strong rally. Following its surge to nearly $3.66 in late July 2025, the cryptocurrency has since shed over 20%, slipping back toward the $2.9 region. The question for traders and investors is whether XRP is setting up for another breakout or if further downside risks lie ahead.
As of August 25, 2025, XRP is trading around $2.92, down 1.2% in the past 24 hours and more than 20% from its recent peak. Trading volume is down by 9.3% to $7 billion.
Key levels stand out:
Immediate support: $2.90-$2.95 zone.
Major resistance: $3.20-$3.50 range.
Deeper support: $2.40-$2.20 zone, aligning with long-term averages.
This $3 area remains pivotal, acting as both a psychological and technical battleground for XRP.
XRP’s latest pullback comes after repeated failures to hold above the $3 psychological barrier. Profit-taking has dominated, especially after the July spike. Technical charts highlight a descending triangle pattern, which typically suggests bearish continuation as lower highs converge toward flat support.
Several external factors have also pressured XRP:
Muted macro sentiment: Despite dovish US Federal Reserve commentary, crypto markets have struggled to build momentum.
Altcoin selloffs: Broader risk-off sentiment has hit altcoins, with capital flowing back into stablecoins or Bitcoin.
Weaker on-chain activity: A decline in daily active addresses and slowing whale accumulation signals reduced demand.
Correlation with majors: Pullbacks in Bitcoin and Ethereum have spilled over into XRP’s trading.
If XRP closes daily candles below $2.90 with volume, bearish momentum could accelerate toward the $2.40 level, which also aligns with the 200-day exponential moving average (EMA).
The daily chart shows XRP consolidating near $2.8-$2.9, overlapping with the 100-day moving average and mid-range of its ascending channel. This support zone remains strong, but repeated tests increase the risk of a breakdown.
Should bulls defend this level, XRP could rally back to $3.20, then retest $3.50 resistance. A decisive break above $3.50 would reset the bullish structure, potentially opening the way to $4.00.
Short-term patterns reveal a descending triangle, with sellers pressing against a flat base at $2.8-$2.9. This reflects growing bearish pressure. A breakdown exposes liquidity at $2.70, followed by $2.40.
On the flip side, if buyers defend the base and push through the descending trendline near $3.20, the bearish case weakens. This would reintroduce momentum and set up another challenge of the $3.50 zone.
Bullish Case:
Holding above $2.95-$3.00 triggers a rebound toward $4.00-$4.40.
A cup-and-handle or bull pennant breakout could extend gains to $5.80.
Institutional inflows, such as the $27 million XRP movement last week, could accelerate rallies.
Bearish Case:
Losing $2.95 confirms the descending triangle breakdown.
Next supports: $2.40-$2.20, with potential for capitulation if sentiment worsens.
Weak demand and falling volume back the bearish outlook.
While near-term charts point to consolidation, some analysts remain highly optimistic about XRP’s long-term potential. Technical Analyst CryptoBull2020 recently outlined ambitious targets:
$7-$8: Short-term objective if the cup-and-handle breakout plays out.
$25: Primary bull cycle target, based on fractal analysis from 2015–2018.
$37: Upper-bound forecast, assuming XRP repeats its historical all-time high breakout pattern.
According to this view, XRP has yet to begin its true bull run. If previous cycles are any indication, a decisive breakout above $3.50 could be the spark for much higher valuations.
Also Read: XRP News Today: XRP Struggles Amid Volatility, Can ETFs or Institutional Backing Revive Its Price?
XRP’s fate hinges on the $2.95-$3.00 zone. If bulls defend it successfully, the token could rally toward $3.50 and beyond, keeping the broader bullish outlook alive. A breakdown, however, risks exposing XRP to $2.40 or lower, delaying any hopes of a breakout.
For now, traders should watch volume flows, the $3 resistance, and whale activity closely. The market remains at a crossroads with the potential for either another leg up or a deeper correction before XRP can attempt its next major rally.
1. Why is the XRP price going down?
XRP is falling due to repeated rejections at $3, profit-taking, weak on-chain activity, and broader altcoin selloffs.
2. What is the key support for XRP now?
The $2.90-$2.95 zone is critical. A daily close below this level could accelerate a drop toward $2.40.
3. Can XRP rebound from here?
Yes, holding above $3 could spark a rally toward $3.50 and even $4.00 if volume improves.
4. What are the bullish price predictions for XRP?
Some analysts see $7-$8 short-term, with $25 or even $37 possible in a full bull cycle.
5. Is XRP still a good long-term bet?
Despite short-term weakness, XRP’s fundamentals, institutional flows, and historic patterns keep long-term bullish sentiment alive.
