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XRP fell 8.05% in the past 24 hours to trade near $1.14, following a broad decline across the crypto market. The drop came as geopolitical tension, ETF outflows, and heavy long liquidations pushed traders away from risk assets.
The token now sits close to the $1.10 support zone, a level traders are watching closely. A move back above $1.21 could ease short-term pressure, while a break below $1.10 may expose XRP to deeper losses.
XRP’s decline came as the wider crypto market lost 6.61%, bringing total market value near $2.17 trillion. Bitcoin also fell more than 7%, and this weakness spread across major altcoins. XRP moved in line with the broader risk-off trend.
Investor caution increased as US-Iran tensions remained in focus. Meanwhile, spot Bitcoin ETFs saw more than $396 million in outflows on June 3. This added pressure to crypto markets, as ETF flows remain one of the key measures of institutional demand.
Sentiment also weakened sharply. The Crypto Fear and Greed Index dropped to 19, placing the market near extreme fear. This showed that traders were reducing exposure instead of adding fresh risk.
For XRP, the move reflected both broad market weakness and its close link to Bitcoin’s direction. When Bitcoin sells off sharply, large altcoins often face stronger pressure. This pattern appeared again during the latest decline.
Leveraged traders also added to the selling pressure. More than $25.64 million in XRP derivatives positions were liquidated in 24 hours. Long positions made up 96.37% of the total.
This means most liquidated traders had expected prices to rise. However, as XRP moved lower, exchanges forced those positions to close. This created extra sell orders and made the decline faster.
Trading volume also rose during the move. XRP’s 24-hour volume jumped 56% to around $3.4 billion. Higher volume during a price drop often shows urgent selling, especially when liquidations are involved.
Open interest and funding rates now matter for the next move. If both decline, it may show that excess leverage has eased. However, XRP remains under pressure while the wider market stays weak.
XRP-linked funds also lost momentum. Market data showed nearly $5 million in XRP ETF outflows on Wednesday. This ended a 21-day inflow streak and showed that some investors reduced exposure during the sell-off.
Even so, XRP products still hold about $1 billion in net assets. They also have around $1.4 billion in cumulative inflows. This shows earlier demand remains in place, even after the latest outflow.
A separate estimate showed XRP products brought in $131.94 million in net inflows during May. This created a clear contrast. Fund demand improved last month, yet XRP’s price remained under pressure.
This gap has now become a key market point. Institutional products had attracted capital, while spot price action stayed weak. Traders are now watching whether Wednesday’s outflow becomes a wider crypto market trend or remains a short-term reaction.
XRP traded near $1.15 at press time, just above the $1.10 support area. Buyers are trying to defend this zone after the sharp market-wide sell-off. A daily close below $1.10 could shift attention toward the $0.80 support level.
Technical indicators remain weak. XRP trades below key moving averages, including the 7-day simple moving average near $1.29. Meanwhile, the Relative Strength Index has moved near oversold levels, while MACD readings remain in negative territory.
Analysts often treat oversold readings with caution. They can appear before rebounds, but they can also remain in place during strong downtrends. Consequently, price confirmation remains important before traders assess any recovery.
The $1.21 pivot now serves as the first major level to watch. A move above this area could signal short-term stabilization. Additionally, a stronger recovery could open the way toward $1.30 and $1.36. If XRP holds $1.10, traders may look for a rebound attempt toward the May resistance levels.
However, a failure to hold $1.10 would weaken the current setup. It would also increase focus on lower support zones as ETF outflows, liquidations, and geopolitical concerns continue to shape market direction.
Also Read: XRP vs. Hyperliquid: Which Asset Holds More Bull Market Upside?
