XRP traded around $1.25 on Tuesday, pausing after a subdued recovery failed to erase technical risks that have followed the token’s roughly 16% October decline. The coin was down about 0.76% over 24 hours, after bouncing off a recent dip toward $1.20.
Analysts pointed to weakening momentum signals—XRP remains below key exponential moving averages and its relative strength index sits near 37—while traders focused on whether support around $1.23 to $1.24 holds. A break below $1.20 would likely shift attention to lower levels near $1.10, according to technical levels cited by market commentary in recent sessions.
Key takeaways
- Price move: XRP was around $1.25, down about 0.76% over 24 hours after a rebound from near $1.20.
- Catalyst: Technical indicators remain pressured—XRP is below major daily moving averages and momentum gauges are weak.
- Key support: Investors are watching $1.23–$1.24; a sustained break below $1.20 could expose ~$1.10.
- Implication: With leveraged positioning also in focus, any support breakdown could increase volatility.
What drove the move
The immediate tone for XRP has been shaped more by technical positioning than by a new fundamental catalyst. Market commentary highlighted that the token is still trading below its major daily exponential moving averages: the 20-day EMA near $1.31, the 50-day around $1.34, the 100-day approximately $1.33, and the 200-day near $1.37. When price remains under these trend gauges, it typically signals that sellers retain control over the near-term direction.
Momentum indicators also point to limited immediate upside. The relative strength index is near 37, below the neutral 50 level but above 30, which is commonly used as a threshold for oversold conditions. The MACD momentum indicator remains negative as well.
Data cited from trader analytics also reinforced the broader trend deterioration. Crypto analyst EGRAG Crypto said on November 1 that October’s 16% decline ranked among XRP’s four worst October performances since 2013, and that seven of the 13 completed Novembers through 2025 finished lower, based on his review.
Market reaction: levels traders are watching
Near-term trading has centered on a defined support zone. Multiple references in market coverage placed $1.23 to $1.24 as the nearest test after XRP fell back toward $1.20. If that area fails, traders may revisit $1.20, where buyers appeared after the late-October retreat.
More downside risk comes with the next major threshold. Coverage suggested that a sustained daily close below $1.20 could weaken the current defence and draw attention to a descending price channel’s lower boundary near $1.10. From a reference point near $1.25, that would imply roughly 12% additional downside, though it was framed as a potential path rather than a guaranteed outcome.
For a rebound, bullish commentary flagged $1.27 as a first recovery level. Above that, the $1.30–$1.31 area was described as a more meaningful resistance region, combining descending-channel supply with the 20-day EMA.
Positioning and volatility risks
Beyond spot price, derivatives activity was cited as another factor that could influence how quickly any technical break turns into volatility. CryptoinsightUK warned that open interest rose by 6.7% even as XRP’s price edged about 0.15% lower, a combination that can occur when traders add leverage while the market is still weak.
Funding rates were described as positive, implying traders were paying to maintain bullish leveraged positions. In such setups, a sharp price drop can trigger automated deleveraging—exchanges may close positions that no longer have sufficient collateral—potentially adding to selling pressure.
Separately, analyst Ali Martinez said on November 2 that XRP’s four-hour Bollinger Bands had narrowed to their tightest levels since August. He characterized Bollinger compression as a sign that volatility is likely ahead rather than a directional signal. Martinez added that, in his view, a four-hour close above $1.27 would be bullish, while a close below $1.23 would be bearish.
Bigger picture: what investors will watch next
With XRP still below key daily moving averages and momentum indicators remaining weak, the market’s focus is likely to stay fixed on whether price can hold the $1.23–$1.24 support band and whether $1.20 can be defended on a daily closing basis. If sellers gain traction, the next technical area near $1.10 could become the immediate reference point.
Traders will also likely monitor derivatives data for signs of leverage build-up unwinding and watch for any follow-through above $1.30–$1.31, which would indicate a more credible attempt to reverse the prevailing trend.
Upcoming market catalysts that could shift crypto sentiment more broadly include additional on-chain and derivatives updates, and any major macro data releases that influence risk appetite and interest-rate expectations.
