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XRP Faces Key Resistance Levels Amid Market Consolidation

XRP Faces Key Resistance Levels Amid Market Consolidation

Author:
XRP News
Published:
2025-05-07 17:20:57
13
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[TRADE_PLUGIN]XRPUSDT,XRPUSDT[/TRADE_PLUGIN]

XRP is currently consolidating near $2.14 after a recent rally, with market sentiment turning cautious. The cryptocurrency has seen a weekly decline of 4.33%, indicating fading bullish momentum. Key resistance levels are identified at $2.36, $2.60, and the psychological $3.00 mark, while support clusters between $2.00 and $1.60. The pivot at $2.05 remains a critical directional fulcrum for the month. Derivatives data suggests a tentative market stance as traders await clearer signals.

XRP Consolidates Amid Cautious Market Sentiment

XRP hovers NEAR $2.14 after a sharp rally, showing signs of consolidation as momentum wanes. The weekly decline of 4.33% reflects fading bullish pressure, with moving averages painting a neutral picture.

Critical resistance levels loom at $2.36, $2.60, and the psychological $3.00 mark. Downside support clusters between $2.00 and $1.60, with the pivot at $2.05 serving as this month’s directional fulcrum.

Derivatives data reveals a tentative market—open interest remains stable despite selling pressure visible in the CVD. Long liquidations stay muted, while neutral funding rates suggest neither bulls nor bears have gained decisive control.

The path forward hinges on the $2.00 support hold. A sustained rebound could reignite momentum toward $2.60, though current price action suggests traders await clearer signals.

XRP Ledger to Host Tokenized U.S. Treasury Fund as Ripple Provides Liquidity Support

Ondo Finance is set to launch its tokenized U.S. Treasury fund, ONDO Short-Term U.S. Government Treasuries (OUSG), on the XRP Ledger within the next six months. The fund targets institutional investors seeking compliant, yield-bearing assets backed by U.S. Treasuries, with 24/7 accessibility via Ripple’s RLUSD stablecoin.

Ripple’s strategic involvement includes providing initial liquidity, underscoring the growing convergence of traditional finance and blockchain infrastructure. The move signals heightened institutional confidence in XRPL’s capabilities amid Ripple’s ongoing legal battle with the SEC.

XRP Price Trends: Key Support Zone Could Pave Way for $3.87 Breakout

XRP continues to trade within a descending channel, yet on-chain data reveals persistent accumulation—a telltale sign of impending volatility. The $1.85 level emerges as a critical support zone, where bullish reversal patterns suggest potential upward momentum.

A decisive breakout above the current channel structure could trigger a rally toward resistance clusters at $2.95 and $3.39, with $3.87 representing the next psychological barrier. Analysts note the cryptocurrency’s unusual resilience during this consolidation phase, reminiscent of pre-breakout behavior observed in Q4 2020.

XRP Price Prediction: Bullish Rebound in Sight Amid Trade Talks and Ripple Strategy

XRP shows resilience above the $2.10 support level despite subdued market momentum. On-chain data reveals strategic accumulation by large holders, with wallets holding 1M–10M XRP now controlling 9.44% of supply—up from 8.24% in January.

The token traded at $2.13, up 1.88% in 24 hours, as broader crypto markets await outcomes from US-China trade negotiations and Federal Reserve rate decisions. Whale activity suggests cautious Optimism among institutional players.

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