XRP fell below $1.25 on Wednesday, its lowest since February 6, as three consecutive days of losses pushed the token deeper into bearish territory. The broader crypto market is under pressure from geopolitical tensions in the Middle East, including uncertainty over a potential US-Iran peace deal and paused negotiations.
Institutional money keeps flowing in
Despite the price drop, institutional investors haven't fled. CoinShares data shows about $20 million went into XRP-related products in the week ending June 1. Spot ETFs recorded $4.13 million in net inflows last week, extending a five-week streak. Cumulative inflows now sit at roughly $1.43 billion, with total net assets under management at $1.11 billion (SoSoValue). So while retail sentiment may be sour, some big money is still buying the dip.
Bearish technicals and key levels
The price action isn't pretty. XRP is trading around $1.23, below its short-, medium-, and long-term moving averages. The MACD histogram is negative, and the Relative Strength Index is near 37 — approaching oversold territory but still showing bearish momentum. Immediate resistance sits at the 50-day EMA around $1.38, then the 100-day EMA near $1.45. A stronger rebound would need a break above a descending trendline close to $1.52; a full reversal requires reclaiming the 200-day EMA around $1.65. With $1.25 lost as support, a drop below $1.20 looks possible in the near term.
What's driving the selling
The macro backdrop isn't helping. Middle East tensions have kept risk assets on edge all week. Cryptocurrencies, which often trade in sympathy with broader risk appetite, are feeling the pressure. XRP isn't alone — the wider market has been shedding value, though XRP's slide has been sharper than some peers.
The next concrete test for XRP will be whether it can hold above the psychological $1.20 level. If selling continues, the token could revisit lows not seen since early February. On the upside, any news of progress in peace negotiations or a broader market turnaround could spark a relief rally, but for now the path of least resistance remains lower.
