XRP Tests $1.25 Support Zone Amid Continuing Daily Correction
Key Summary
XRP slipped 3.4% toward $1.20 before recovering to $1.25, extending a corrective phase that began after early-2026 highs near $2.40. Daily order-book data shows buyers absorbing selling pressure at this critical demand floor, but structural resistance at $1.40 continues to cap upside momentum across major spot exchanges.
Key Bullets
- XRP traded near $1.25 after touching a low of $1.20, testing a multi-month demand zone monitored closely by spot market participants.
- Order-book depth on major exchanges revealed active buying absorption after prices briefly dipped below the $1.25 support threshold.
- A sustained break below the $1.20 swing low would likely expose lower demand targets at the $1.10 and $1.00 price floors.
- Traders noted that reclaiming the $1.40 supply area remains the primary requirement for invalidating the active descending channel.
XRP Hovers Near $1.25 Support
XRP hovered near $1.25 Tuesday after briefly slipping to $1.20, extending a persistent corrective phase that has unfolded across spot markets since early-2026 highs near $2.40. Daily exchange order books confirm that buyers stepped in to absorb heavy selling pressure near the psychological demand floor. The asset now sits at a critical technical juncture. Liquidity vanished rapidly during the morning session.
Market participants on spot exchanges watched the order-book depth closely as volume dried up near the $1.25 mark. Previous rallies stalled near the $1.70 supply zone, establishing a sequence of lower highs that kept the broader trend slanted downward. Sellers remain active overhead. Buyers defended the boundary.
Descending Channel Dominates Four-Hour Charts
Four-hour charts monitored by traders show XRP confined inside a strict descending channel since hitting a local top near $1.65 in late September. Rebounds inside this pattern generated progressively lower peaks, culminating in a sharp rejection at the $1.34 upper boundary last week. That rejection triggered the swift drop toward $1.20 before buyers re-entered the market. Price action remains tightly compressed.
A breakout above the upper trendline near $1.28 is required to challenge the prevailing bearish market structure and target the $1.40 supply area. Conversely, a confirmed breakdown below the $1.20 swing low would quickly push the token toward the lower channel boundary near $1.15. Downside momentum accelerated throughout the afternoon. Traders took immediate notice.
Lower Demand Zones Remain Exposed
Technical charts maintained by trading desks indicate that losing the $1.20 swing low would immediately expose the $1.10 demand zone, with the $1.00 price floor standing as the final major support level before the entire summer rally. Order-book imbalances continue to favor sellers on any relief rally toward the $1.40 resistance area. Capital flows shifted toward stablecoin pairs. Volatility spiked across derivatives desks.
Execution venues reported heightened liquidation risks for leveraged long positions if the $1.25 threshold fails to hold through the weekly close. The overarching trend structure remains vulnerable to further downside extension. Selling pressure mounted near the resistance ceiling. Liquidity pools thinned out completely.
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