XRP fell nearly 4% over the weekend as bitcoin dipped below the $88,000 level, with the move driven more by market positioning and macro caution than by any change in Ripple’s fundamentals.
The decline came ahead of a busy week for global markets, with the Federal Reserve’s two-day FOMC meeting set to begin Wednesday and several major technology companies scheduled to report earnings. Risk assets broadly softened as traders reduced exposure.
Despite the pullback, there were no negative developments tied to Ripple or the XRP Ledger. Ripple’s regulatory position and payments-focused use case remain unchanged, leaving XRP’s recent price action largely dictated by technical structure, reduced participation, and short-term profit-taking.
ETF Outflows Signal Rotation, Not Capitulation
Spot XRP exchange-traded funds recorded approximately $40.6 million in net weekly outflows — the first notable withdrawals since their launch. The outflows suggest institutional investors are locking in gains or rotating capital rather than abandoning the asset altogether.
Market participants described the flows as consistent with near-term caution rather than a loss of confidence in XRP’s long-term outlook.
Tight Range Persists as Support Holds
XRP traded between roughly $1.88 and $1.92 during the 24-hour period ending Jan. 25, remaining locked in a narrow consolidation range. The $1.88–$1.89 zone has now acted as support multiple times since XRP slipped back below the $2.00 level earlier in the week.
The most notable price action occurred around 09:00 UTC, when trading volume briefly surged to 34.5 million tokens as XRP dipped toward $1.89 before rebounding above $1.90. The move ultimately proved to be a failed breakdown rather than the start of a sustained trend.
After the bounce, volume faded sharply into the session close — a sign that both buyers and sellers stepped aside, reinforcing the sideways market structure.
Technical Picture: Consolidation, Not Trend
From a technical perspective, XRP continues to trade in consolidation. The repeated defense of the $1.88 level has formed what technicians describe as a triple-bottom support zone. However, rebounds from this area have been shallow, highlighting a lack of strong bullish conviction.
Near-term resistance remains clustered between $1.93 and $1.95, with a more significant descending trendline near $2.10. Until XRP can reclaim these levels with conviction, upside attempts are likely to face selling pressure.
Volume patterns further support the consolidation narrative. Spikes in activity have coincided with reversals rather than breakouts, while the recent collapse in volume suggests indecision ahead of a larger move once the current stalemate resolves.
