XRP’s Downtrend Deepens as Altcoin Momentum Evaporates: Is Capitulation Next?

In a market where Bitcoin and Ethereum get the headlines, XRP is quietly staging a masterclass in how not to hold a floor. The so-called ‘digital asset for banks’ has spent the last month in a slow-motion car crash, and the past 24 hours have only reinforced the trend. At a time when Ethereum whales are buying the dip and even meme coins are getting pity bids, XRP is stuck in reverse, with price action reflecting persistent selling pressure and a chronic lack of bid.

Let’s get right to it: XRP has failed to reclaim the $2 level, and the latest price action is a textbook case of momentum exhaustion. According to Tokenpost, XRP’s “sustained downtrend” is now entering its fourth week, with every rally attempt getting sold into faster than you can say ‘SEC settlement.’ The market isn’t just weak, it’s apathetic. Volume is drying up, and the order book looks like a ghost town. If you’re still holding out for a reversal, you’re either a true believer or you’ve lost your password.

The timeline is brutal. After a failed breakout above $1.95 last week, XRP slipped back below $1.80 and hasn’t looked back. Each bounce is met with heavier selling, as traders rotate into tokens with actual momentum or, in some cases, just cash. The latest attempt to reclaim $1.85 fizzled out in under an hour, with liquidity so thin that even a modest sell order can move the market. The technicals are ugly, but the psychology is worse. This isn’t panic selling, it’s resignation.

Context matters. XRP’s underperformance comes as the broader altcoin complex is stuck in a funk. AAVE just hit a 52-week low despite a major protocol upgrade, and even Ethereum, the market’s liquidity anchor, saw over $1 billion in derivatives liquidated in a single hour. The difference is that while other coins are seeing whale accumulation or at least some speculative churn, XRP is getting left behind. The narrative that XRP would benefit from a new system to merge corporate finance and digital assets is, for now, just that, a narrative. There’s no evidence of real institutional flows, and retail is nowhere to be found.

Historically, XRP has been a high-beta play on crypto risk appetite. In the 2021 bull run, it outperformed most majors during speculative blow-offs. But now, with risk-off sentiment gripping the market and regulatory clouds still hovering, XRP is behaving like the kid who missed the bus. The SEC saga may be fading from headlines, but the overhang remains. Every bounce is a chance for bagholders to exit, not for new money to enter.

The real story here is the evaporation of momentum. XRP’s RSI is scraping 34, deep in oversold territory, but nobody cares. The 50-day moving average is rolling over, and the 200-day is accelerating lower. There’s no sign of capitulation, just a slow grind lower. In a market that rewards volatility and punishes inertia, XRP is the poster child for what happens when the music stops.

Strykr Watch

From a technical standpoint, XRP is clinging to the $1.70 support zone, a level that has held since the last major flush in February. Below that, the next real support is at $1.55, which coincides with the 2023 lows. Resistance is stacked at $1.85 and $2.00, levels that have repelled every rally attempt in the past month. The 50-day moving average is at $1.92 and falling fast, while the 200-day sits at $2.10 and is now a distant memory.

Volume is anemic. On-chain data shows declining active addresses and falling transaction counts. The order book is thin, with little evidence of large bids below market. Derivatives open interest is shrinking, suggesting that even speculators are losing interest. If $1.70 breaks, the path to $1.55 is wide open. If that fails, it’s a long way down to psychological support at $1.20.

The only bullish argument is that XRP is so oversold that a dead-cat bounce is possible. But without a catalyst, regulatory, technical, or narrative, it’s hard to see where the bid comes from. For now, the trend is your enemy.

The risk is that XRP becomes a self-fulfilling prophecy. As liquidity dries up, volatility could spike on even modest order flow. If a major holder decides to exit, the market could air pocket lower. On the flip side, if Bitcoin or Ethereum stage a sharp reversal, XRP could get dragged higher in a sympathy rally. But that’s a thin reed to cling to.

For traders, the opportunity is on the short side. A break below $1.70 is a trigger for momentum shorts, with a stop above $1.80 and a target at $1.55. If you’re looking to play a bounce, wait for a confirmed reclaim of $1.85 with volume. Otherwise, capital is better deployed elsewhere.

Strykr Take

This isn’t a dip, it’s a drift. XRP is caught in a vortex of apathy, and until momentum returns, there’s no reason to fight the tape. If you’re still holding, ask yourself why. For everyone else, the sidelines are the smart trade. The next real move will be fast and probably lower.