Short-Term Momentum Improves While Downtrend Remains Intact

• XRP is forming higher lows on lower timeframes, signaling stabilization after defending the $1.78–$1.82 demand zone.
• The broader downtrend remains intact, with heavy resistance clustered between $2.10 and $2.18 near the descending trendline.
• Spot outflows have slowed and brief inflows emerged, but accumulation remains limited without a decisive breakout.

XRP price today trades near $1.95, attempting to stabilize after weeks of controlled downside inside a descending channel. While short-term momentum has improved, price remains capped below a dominant trendline and overhead resistance. 

Descending Channel Still Defines The Broader Structure

On the daily chart, XRP continues to trade inside a well-defined descending channel that has guided price action since the July peak. Lower highs and lower lows remain intact, and price has yet to reclaim the upper boundary of that structure.

The descending trendline currently intersects near the $2.10–$2.15 zone. This level has rejected multiple recovery attempts since October. Each failure reinforced seller control and kept rallies corrective rather than trend forming.

Parabolic SAR remains above price on the daily timeframe, confirming that the broader trend has not flipped. Supertrend resistance sits near $2.18, aligning closely with the trendline. That confluence makes the $2.10–$2.20 region the most important technical barrier in the near term.

Short-Term Charts Show Momentum Building, Not A Breakout

Zooming into the 2-hour chart, XRP has started to compress beneath descending resistance after bouncing from the $1.78–$1.82 demand zone. Price is printing higher lows, signaling short-term stabilization rather than renewed selling pressure.

RSI on the 2-hour timeframe has climbed into the mid-to-high 60s, reflecting improving momentum. During the prior leg lower, RSI repeatedly failed below 55. The current shift suggests buyers are willing to defend pullbacks, at least tactically.

MACD has flipped positive, with histogram bars expanding above the zero line. This supports the idea of short-term continuation toward resistance. However, price has not yet closed above the descending trendline. Until that happens, the move remains a recovery inside a bearish structure, not a reversal.

Spot Flows Point To Distribution Slowing, Not Accumulation

Spot flow data adds nuance to the picture. XRP has seen persistent net outflows across much of the year, reflecting steady distribution rather than sustained accumulation. Recent sessions show smaller outflows and occasional modest inflows, suggesting selling pressure is easing.

On December 20, netflows turned slightly positive, registering roughly $9.8 million in inflows. While that is a constructive signal, it stands in contrast to earlier periods where inflows exceeded $50 million during stronger advances.

Institutional Narrative Improves, But Price Still Lags

Sentiment around XRP received a modest boost after VivoPower announced a partnership with Lean Ventures to acquire Ripple Labs equity. The joint initiative aims to source up to $300 million in Ripple shares for institutional and qualified retail investors in South Korea.

While the deal does not involve direct XRP purchases, it provides indirect exposure to Ripple-linked value and reinforces institutional interest in the broader ecosystem. VivoPower expects to generate roughly $75 million in fees over three years, underscoring confidence in demand for Ripple-related assets.

Despite that narrative support, XRP has lagged the broader crypto market by roughly 1.2 percent over the same period. This divergence suggests that recent gains are being driven by token-specific flows rather than a broad risk-on rotation across majors.

That lag is important. Sustainable breakouts in XRP historically require alignment with broader market strength. Without that confirmation, rallies tend to fade into resistance.

Key Levels Define The Near-Term Decision Zone

Immediate resistance sits near $2–$2.05, followed by the descending trendline and Supertrend cluster between $2.10 and $2.18. A daily close above this zone would be the first meaningful signal that the downtrend is losing control.

On the downside, initial support rests near $1.88, followed by the $1.80–$1.78 demand area that recently halted selling. Losing that zone would reopen downside toward $1.65 and potentially the lower channel boundary near $1.55.

Outlook: Will XRP Go Up?

XRP is stabilizing, but the burden of proof remains on buyers.

• Bullish case: A daily close above $2.18, followed by acceptance above $2.25, would break the descending trendline and shift structure toward neutral-to-bullish. That move would open room toward $2.50 and $2.75.
• Bearish case: Failure to reclaim $2.10, followed by a drop below $1.80, would confirm the recovery as corrective and expose deeper downside toward $1.65.