XRP: Why Price Down Today?

is finding it tougher than the broader crypto market today, folks. It’s currently down about 4% over the last day, trading around $2.68 as of February 17th.

Here’s what you should know:

• Looks like XRP is in the red for the second day straight, having bounced off a resistance level up at $2.85.
• To put it in perspective, the entire global crypto market cap only dipped by about 1% to $3.2 trillion.

• Over the past 24 hours, we’ve seen nearly $6.5 million in XRP futures positions get liquidated, and get this, $5 million of that was from long positions! Ouch.
• Technically speaking, the charts are suggesting XRP might slip further if it can’t hold onto some key price levels.

XRP open interest takes a nearly 50% dive

One reason XRP is struggling to maintain its recent gains might be because traders are losing interest in derivatives. It seems like many are closing out their positions, which often signals a decrease in speculative buying momentum.

Here are the highlights:

• Zooming out a bit, XRP’s open interest (OI) is also down a hefty 47% over the last month. This generally points to fewer traders jumping into the XRP market right now.

Adding to the potentially gloomy mood, the chances of a spot XRP exchange-traded fund (ETF) being approved on Polymarket have ticked downwards. They’ve gone from 81% on February 14th to 78% as of now.

Just to rewind for a moment, as we reported earlier on Cointelegraph, betting odds for an XRP ETF approval in 2025 actually jumped up to that 81% mark on February 14th. This came after news broke that the US SEC had officially acknowledged Grayscale’s ETF filings for both XRP and DOGE.

Related: 2025 XRP ETF approval odds hit 81% on Polymarket

Over at Bloomberg, ETF analysts James Seyfartt and Eric Balchunas are still feeling reasonably optimistic, estimating a 65% chance of an XRP ETF getting the green light from the SEC in 2025.

XRP price hits a wall at $2.85 resistance

It appears XRP’s price is taking a breather, falling back after slipping below a crucial support level.

• That 26% surge XRP enjoyed between February 7th and 15th ran into sellers around the $2.85 price point, it seems like there was too much supply at that level.
• And to add to the pressure, XRP also lost a key support level around $2.68 on February 17th, which was hovering around the 50-day SMA (Simple Moving Average).
• For XRP to avoid a bigger dip, it really needs to reclaim that $2.68 level and turn it back into support.
• However, it’s not all doom and gloom! There’s still a potential bull flag pattern forming on the daily charts, which could be a positive sign.
• For now, it looks like XRP is finding a bit of a safety net around $2.35, which happens to be the upper edge of that flag pattern.

• If we see a decisive move above that $2.85 resistance, and then eventually past the multi-year high of $3.40 – ideally with strong trading volume – then XRP could really take off towards that bullish target within the chart pattern, potentially reaching $6.40.
• Also, worth noting, the MACD indicator flashed a bullish crossover on February 14th, and that signal is still active. This suggests underlying market conditions could still favor an upward move.
• On the flip side, if XRP closes below that $2.35 daily support, things might get a bit more bearish, potentially sending it down to test the next support level around $1.96.

Popular crypto analyst Dark Defender has pointed out that XRP is currently trading within a consolidation channel. He mentioned it needs to break through the $2.80 resistance before aiming higher, potentially targeting $3.00 and even double-digit prices down the line.

Hello all. #XRP is trying to claim the $2.7740 level. If successful, then $3 will be in play.

Breaking this channel heralds 2 Digits levels first!

Enjoy your Sunday!#XRPCommunity #XRPArmy, #Ripple pic.twitter.com/n3r7F5Nfst

— Dark Defender (@DefendDark) February 16, 2025

Keep in mind, this is just market analysis and not financial advice. Investing and trading always carry risks, so make sure you do your own homework before making any decisions.