Analyst: Significant XRP Sell-Off Is Hindering Price Movement
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XRP has recently seen a halt in its rally just below a significant volume-weighted average price (VWAP) level, which is linked to its historical peak, as detailed by a market update from an independent trader.
XRP Faces Selling Pressure That Limits Price Advances
The Binance 12-hour chart shared by the trader indicates that XRP/USDT was trading at $2.4375 at 12:18 UTC-4, reflecting a 2.08% increase in the session but still falling short of reclaiming what the trader refers to as the “ATH VWAP”—a long-standing indicator derived from the April 2021 high. This average is currently moving downward around $2.47, consistently blocking daily advances since mid-May.
Underlying the price movements is a clear seller trend, with the trader noting, “There’s simply been an overload of market selling while passive buyers have attempted to maintain support.” Proprietary order-flow data reveals a net outflow of 240 million XRP from spot exchanges over the past week, with about 180 million reportedly sold on Coinbase and Upbit, while Binance remained relatively stable.
Additional Insights
The same chart displays two shorter-term anchored VWAPs, which serve as the coin’s critical short-term support: a one-month VWAP at $2.31, approximately 5.22% below the session high (orange), and a three-month VWAP at $2.28, about 6.40% lower (cyan).
XRP is currently “clinging to the monthly and quarterly VWAP by a thread,” cautions the trader, warning that a decisive breach of the $2.31–$2.33 range could result in the market becoming “essentially mid-range noise until … $2.20 is breached,” referencing a key support point indicated on the left-hand volume profile.
Additional Insights
While Bitcoin has been fluctuating within a broad consolidation zone, this correlation has provided little relief for XRP investors. Each uptick in BTC sees fresh selling in XRP, emphasizing the challenge of achieving upward movements under the prevailing selling pressure.
The current technical scenario presents a clear directive: if XRP can reclaim the ATH VWAP, the path could lead toward the late March peak upwards of $3.00, but if it falls below $2.20, the trajectory could shift downward, targeting high-volume areas below $2.00. Until one of these levels is broken, the trader concludes, XRP “has lost its momentum” and remains caught in a struggle between ongoing sellers and diminishing support from passive buyers.
At the time of reporting, XRP was priced at $2.36.
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