XRP Bottom Check After Sub-$1 Crash: Support Holds, Risk Still High
XRP is trading after slipping below the $1 psychological level on multiple occasions, with many analysts watching for a potential macro bottom. The token is roughly 70% down from its all-time high and is near a 21-month low, after a prolonged pattern of lower highs and lower lows.
In a ChatGPT assessment, the case for a bottom is “possibly” forming. Support is still being defended around $1. On-chain indicators also look constructive: the number of wallets holding at least 1 million XRP increased by 32 over three months, and active XRP addresses rose from under 24,000 to above 43,500.
However, ChatGPT warns against confirming the XRP bottom too early. On Binance, the taker buy/sell ratio recently fell to 0.86, signaling aggressive sell-side pressure. It also flags rising futures positioning as a catalyst for a further downside move and potential liquidation cascades.
Key technical levels cited are $0.94–$0.95. A breakdown below that zone could open the door to deeper losses toward $0.80–$0.85. Overall, the XRP bottom is framed as plausible but unconfirmed, leaving traders alert for another leg down even as buyers try to hold $1.
Neutral
The news is framed as a “possible” XRP bottom, not a confirmed one. Support around $1 is being defended, and on-chain activity/wallet distribution has improved (million-XRP wallet count and active addresses rose). That supports a stabilizing base for XRP.
But multiple risk flags argue for caution: taker buy/sell ratio at Binance at 0.86 points to stronger sell aggressiveness, and rising futures positioning increases the likelihood of another selloff that can trigger liquidation cascades. The cited downside trigger ($0.94–$0.95) resembles how prior “near-bottom” rallies often fail when derivatives momentum stays skewed toward sellers. In such setups, spot may hold psychologically (like $1), while futures unwind drives the next leg down, delaying a true bottom confirmation.
Short term: traders may see choppy consolidation around $1, but downside hedges remain relevant while $0.94–$0.95 is intact.
Long term: if on-chain metrics keep improving and sell pressure eases, the sub-$1 move could mature into a durable bottom. If the derivatives-driven breakdown occurs, it likely postpones bottom confirmation and can push XRP into a deeper liquidity drawdown.