XRP Struggles to Recover as Investor Interest Fades
XRP holds above key support despite a sharp correction, but weak investor sentiment and low liquidity make recovery uncertain amid bearish market conditions.
XRP remains above a critical support level, even after a sharp market correction. The altcoin continues to struggle with weak investor sentiment and bearish conditions, making recovery uncertain. Despite past attempts to regain momentum, the lack of strong buying activity has prevented any significant upward movement.
Market sentiment for XRP has weakened, reflected in the drastic decline in active wallet addresses. In just a few days, the number of active participants in the network has dropped significantly, suggesting that investors are pulling back. This decline has led to reduced liquidity, making it harder for XRP to rebound effectively.
Long-term holders, however, remain an essential factor in supporting the price. Many of these investors continue to hold onto their positions rather than selling at lower levels. As a result, they act as the last line of defense against a deeper price drop. Their reluctance to sell has helped stabilize XRP’s value, keeping it above a crucial support zone.
XRP’s price action suggests that the market is stuck in a consolidation phase, with resistance preventing any meaningful recovery. While the altcoin has managed to hold above an important level, breaking through major resistance has proven difficult due to weak bullish momentum. A move past this resistance would be necessary to confirm a potential recovery.
For now, XRP seems likely to remain within a tight trading range. Any breakout—whether upward or downward—will depend on broader market conditions and investor confidence. If the market regains strength, XRP could push higher, but a failure to do so might result in further declines.
If selling pressure increases and XRP falls below its critical support level, the price could drop further, reinforcing a more bearish outlook. Such a decline would signal a loss of confidence among investors and make a recovery even harder to achieve. The next few days will be crucial in determining whether XRP can regain its footing or continue its downward trajectory.
