XRP briefly slipped under $1.07 on Tuesday before bouncing back, but the recovery has done little to shift the broader bearish tone. The token now sits just above $1.10, with traders watching closely to see if it can hold the critical $1.00 support level.
Sellers seize control near $1.18
The current downtrend began after sellers took control around $1.18, pushing the price steadily lower. That level now acts as the first major resistance, followed by $1.30, $1.60, and $2.00. Until XRP can reclaim $1.18, the path of least resistance remains downward.
Volume data shows that sell pressure has been declining for months, which could signal that the selling wave is losing steam. But that alone hasn't been enough to reverse the slide. The token needs to establish a higher low above $1.00 to give bulls a foothold.
Bullish divergence emerges on the RSI
One technical bright spot: the 3-day Relative Strength Index is showing a bullish divergence. While XRP's price has been making lower lows, the RSI has been making higher lows. That pattern often precedes a trend reversal, though it's not a guarantee.
For the divergence to play out, XRP must first print a higher high above $1.18. That would confirm the reversal signal and could open the door to a move toward the next resistance levels. Until then, the divergence remains just a warning that selling momentum is fading.
What traders are watching now
The immediate focus is on whether XRP can hold above $1.00. A break below that level would likely accelerate losses and invalidate the bullish divergence. On the upside, a move above $1.18 would be the first real sign of strength in weeks.
Volume continues to dry up, which can be a double-edged sword. Low volume can precede a sharp move in either direction, so traders are bracing for volatility. The next few sessions will be key in determining whether the recent dip was a buying opportunity or the start of a deeper correction.
