XRP has slipped to $1.31 after a failed breakout attempt at $1.35, raising concerns about further declines as liquidity tightens. The 1.9% drop is compounded by rising volume during the rejection, indicating that sellers are firmly in control and that support levels are weakening. The thinning liquidity on Binance, coupled with increasing open interest, suggests that traders are positioning for more short trades, heightening the risk of sharper price movements.
The inability to convert a breakout into sustained momentum is critical; XRP’s failure to hold above $1.35 signals a potential shift in market sentiment. As the price approaches the key support zone of $1.31-$1.30, traders should be vigilant for a breakdown that could push prices down to $1.28. Given the current market dynamics, any breach of these levels could lead to increased volatility.
Market participants should closely monitor the $1.35 resistance and the $1.31 support, as either level breaking could trigger significant price action in the near term.
Source: coindesk.com