Doomsday scenarios for XRP price target $1 after the recent crash

XRP falls below the key support at $1.93 as volume rises. Analysts warn of a move towards $1, with whale selling and bearish signals increasing.

Breakdown signals and volume spike

XRP is trading around $1.88 after breaking through the $1.93 support zone, which now acts as resistance. This move is associated with a drop of almost 6% over 24 hours and a weekly loss of more than 8%. Trading volume increased by more than 87% in one day, now above $3.6 billion. This increase indicates stronger activity from larger players or a broader repositioning.

Crypto analyst Cheds Trading warned that XRP may form a high-time frame-topping pattern. He described it as a ’rounded peak or M with higher height’, adding:

“Measured move towards approximately MA200 area/$1.00 range.”

XRP has also fallen below the 8 EMA, 34 EMA and 50 SMA on the weekly chart, indicating weakness in the trend.

Meanwhile, the weekly Bollinger Bands start to widen while the price remains below the center line. With XRP unable to stay above $2, momentum remains on the downside. If $1.75 does not hold, the 200-week moving average near $1.07 will be the next area to watch.

Ali Martinez marked $1.92 as the level to maintain. XRP has consistently printed lower highs and lower lows since peaking in July at $3.65, and shows no signs of reversing so far.

“$1.92 is the level $XRP needs to maintain to avoid a drop to $1,” he said.

In addition, the 4-hour chart from ChartNerd shows XRP in a descending channel. Price is now testing the bottom of the range around $1.87-$1.90, overlapping with a demand zone. ChartNerd noted that “$XRP LTF PA is unfolding as expected,” hinting at a possible rebound.

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Whale sales and short positions

Ali reported that 1.18 billion XRP has been sold by major holders in the past four weeks, with 280 million tokens sold in the past week alone. CryptoPotato also reported over $1 billion in XRP sold by major holders. This increased distribution adds to the selling pressure seen in recent sessions.

Niels pointed out that downward liquidity “has been completely removed“, noting that financing rates on the exchanges have turned negative. He said that these types of short-heavy markets “start squeezingIf any upward momentum returns.

Despite the inflows into spot ETFs, XRP has underperformed compared to other major tokens. The price movement appears to be driven more by technical selling than by new developments.