XRP is clinging to a key support level around $1.38, and a closer look at order-flow data suggests the selling pressure might be running out of steam. The recent pullback from a May 10 high, which at first glance looked like a breakdown, is being read by technical analysts as a corrective three-wave decline rather than a full trend reversal. The critical zone for buyers sits between $1.40 and $1.42 — the so-called B-wave support — and the internal 100% extension target near $1.41 has already been tested.
Why the $1.38 level matters
For XRP to maintain its bullish structure, it needs to stay above $1.38. Dropping below that mark would open the door to a deeper retracement, possibly undermining the upward momentum built over the past weeks. So far, the price has bounced off that area multiple times, suggesting buyers are stepping in.
Spot CVD tells a different story
While the price action looks shaky, data from Binance’s spot market tells a more interesting story. The Cumulative Volume Delta (CVD) — a metric that tracks the net difference between buying and selling volume — has remained remarkably stable during XRP’s drift toward local lows. That flat CVD, even as the price dipped, indicates that aggressive selling is absent.
In fact, a similar divergence between price and CVD has happened before. Last time such a pattern emerged, it preceded a sharp reversal for XRP, catching many short-term traders off guard. The current setup suggests that instead of dumping, some participants are quietly accumulating. That type of behavior often points to institutional buyers building positions without stirring up the market.
What the B-wave zone signals
The $1.40-$1.42 range is more than just a technical level. Analysts label it the B-wave support within the corrective decline. In Elliott Wave theory, a B-wave is often a deceptive rally or a sideways grind that lures in traders before a final C-wave leg. But here, the structure appears to be completing within that zone, and the CVD stability reinforces the idea that the correction is ending, not extending.
If XRP can hold above $1.38 and reclaim the $1.42 area, the path back toward recent highs around $1.50 or higher becomes plausible. A failure to hold, however, would force a reassessment of the broader trend.
What traders are watching next
All eyes are on whether the $1.38 support can hold through the end of the trading week. If the CVD divergence is as reliable as it was previously, a reversal could come quickly. But the market remains cautious — the crypto sector as a whole is still digesting macro headwinds, and XRP is not immune to sudden sentiment shifts.
The next few sessions will be telling. If XRP breaks above $1.45 with increasing volume, the corrective label is confirmed. If it slips below $1.38, the divergence narrative will be tested. For now, the quiet accumulation story is the one that has the charts — and the order book — on its side.
