- XRP trades below key resistance at $2.35–$2.40, facing downside risk if it breaks $2.28 support.
- RSI and MACD indicate weakening momentum, indicating increased short term bearish pressure.
- On-chain data shows rising holders but declining active addresses, suggesting low short term engagement.
On May 24, XRP was trading at $2.34, a 3.81% decline in 24 hours and a 1.12% drop in the past week. Despite this short term weakness, the token has gained by 7.27% over the last 30 days. Market cap is at $137.27 billion, falling by 3.85%, while 24 hour volume rose by 5.08% to $3.78 billion.
XRP’s fully diluted valuation is at $233.92 billion, with a circulating supply of 58.68 billion out of the 100 billion maximum supply. The volume to market cap ratio is at 2.78%, showing moderate trading activity relative to its market size.
Technical Indicators Suggest Weakening Momentum
Key indicators provide mixed signals. The RSI is at 50.20, down from its previous peak of 56.98. This places XRP in neutral level, though the downward slope hints at fading momentum. A drop below 50 could suggest growing downward pressure.
Moreover, the MACD shows early bearish signs. The MACD line is at 0.0357, below the signal line at 0.0526. The histogram shows a negative value of -0.0169, supporting the view that bearish sentiment may be increasing. This technical setup indicates possible downside risk in the short term.
Price Patterns and Key Moving Averages
Price action shows XRP struggling below key resistance between $2.35 and $2.40. XRP had a daily high of $2.34 but failed to break out. The support zone is at $2.28, which XRP has managed to hold for now.
Currently, XRP trades above the 50 day moving average of $2.29 but remains below the 200 day moving average at $2.39. This crossover points to a neutral to bearish outlook, as the longer term trend remains unconfirmed.
The price has ranged between $2.06 and $2.72 since early April. This tight consolidation suggests a potential breakout or breakdown, depending on upcoming market developments.
Declining Participation but Steady Accumulation
On-chain data shows a decrease in user engagement. Daily active addresses dropped to 9,713 on May 24, continuing a downtrend from the March peak. Meanwhile, the total number of holders rose to 6.49 million, showing ongoing accumulation.
However, the divergence between rising holders and falling activity shows reduced short term network activity. This gap suggests that while many wallets retain XRP, fewer users are actively transacting. For any price breakout to sustain, improved on-chain engagement may be needed.
Potential Prices for May 25
In a bullish scenario, XRP could reclaim $2.35 and target $2.40–$2.45 if buying volume increases. However, a fall below $2.28 may push the price down to $2.20–$2.18.
XRP remains within a consolidation zone, facing downward technical pressure and weakening momentum. Despite solid long term interest, short term indicators suggest caution. The ability of bulls to hold above key support levels and retest resistance will determine price direction in the short term.
