XRP price falls below key support, weakening. Can it stabilize at $1.85?

Recently, the price movement of XRP has come under pressure again. After losing the short-term support level, XRP's overall performance has weakened, with sell orders significantly increasing around $1.90. The price fell into a lower range on Wednesday, with the market's focus gradually shifting to the $1.85 level. This trend occurs against a backdrop of low liquidity at the end of the year, with the cryptocurrency market predominantly consolidating, and short-term position adjustments becoming the dominant force.

From the market environment, the light trading at the end of the year makes prices more susceptible to emotional and technical signals. Many traders tend to reduce risk exposure rather than betting on a clear direction. Against this backdrop, the technical signals for XRP are diverging. Some analysts believe that the ascending wedge structure is putting pressure on prices, and if the support continues to decline, XRP may face further pullbacks; while another group of analysts points out that the RSI indicator shows divergence, which typically occurs when short-term selling pressure is nearing exhaustion. This divergence undermines market confidence and explains why XRP quickly fell back after rebounding to the resistance level.

Technical indicators show that XRP previously relied on the support level between $1.8615 and $1.8700, but the end-of-day sell-off has pushed the price below this range, confirming a short-term weakening. Notably, the trading volume around $1.9061 has significantly increased, with a single pullback volume of about 75 million coins, clearly higher than the 24-hour average level, indicating that funds are more inclined to reduce positions during rebounds rather than establish long positions.

In the intraday price movement, XRP fell from around $1.878 to $1.86, experiencing multiple instances of increased volume decline, especially in the range of $1.867 to $1.865, where trading activity significantly increased, indicating that this round of decline is more driven by real selling rather than mere lack of liquidity.

From the price performance, XRP has fallen from $1.8942 to $1.8635 within 24 hours, with an overall fluctuation of about 2.1%. Currently, $1.87 has shifted from support to a key contest zone. If the price stabilizes at this position again, XRP may have the opportunity to retest the resistance at $1.90 to $1.91; conversely, the market will focus on the buying defense strength in the $1.86 to $1.85 area. In the short term, XRP's movement is still primarily range trading, and the subsequent direction is more likely to depend on the changes in trading volume during the breakout.