Ripple (XRP) Hovers at $1.37 While ETF Inflows Surge Past $1.39 Billion Mark

Key Highlights

• Ripple is currently positioned around $1.37 following a rebound from near-term support at the $1.35 level
• Exchange-traded fund products tracking XRP have recorded positive flows for four sessions running, with Tuesday’s figure at $1.48 million
• Futures contracts tied to XRP show Open Interest expanding to $2.93 billion from a prior $2.83 billion reading
• The token continues trading beneath its 50-day, 100-day, and 200-day exponential moving averages, maintaining bearish technical structure
• Critical overhead resistance is positioned at $1.3940; a successful breach could trigger movement toward $1.42 and higher levels

Ripple’s native token is changing hands at $1.37 this Wednesday, May 21, having found footing after testing support near $1.35. This stabilization follows a rejection at the $1.50 threshold during the middle portion of May.

The pullback from those higher levels was influenced in part by broader economic headwinds, including US inflation figures that exceeded forecasts and continued unrest across Middle Eastern territories.

Market participants are anticipating the Federal Reserve’s release of minutes from its April monetary policy gathering, scheduled for 18:00 GMT Wednesday. These documents are expected to provide insight into the central bank’s thinking on future rate decisions.

Spot exchange-traded funds holding XRP have registered capital inflows across four consecutive trading sessions. Tuesday’s figure of $1.48 million represented an uptick from the prior day’s $750,000. Total cumulative flows have reached $1.39 billion, while average net assets under management stand at $1.12 billion, per data compiled by SoSoValue.

Market analyst ChartNerd (@ChartNerdTA) noted via social channels that $1.30 represents the next critical support zone should XRP lose its present structural foundation. “The more we hit our heads and fail to push through $1.50, the likelihood of a larger drop increases,” the analyst observed, noting early warning signs of potential weakness.

Open Interest in XRP-denominated futures contracts advanced to $2.93 billion Wednesday, climbing from $2.83 billion recorded in the previous session. Sustained growth in OI metrics could provide support for a move toward the $1.40 threshold.

Critical Technical Zones

Ripple’s token is presently positioned below three key exponential moving averages: the 50-day at $1.41, the 100-day at $1.48, and the 200-day at $1.69. This configuration maintains a near-term bearish technical structure.

The Relative Strength Index registers in the low-40s on daily timeframes, while the MACD histogram displays negative values with downward trajectory. These indicators point to persistent bearish momentum.

On shorter hourly intervals, price action has breached above a descending channel pattern with resistance around $1.380. Nevertheless, sellers have defended the $1.3820 region with notable activity.

The primary overhead obstacle is located at $1.3940. A decisive close above this threshold could propel XRP toward the $1.42 zone.

Downside Scenario If Breakout Fails

Should XRP prove unable to penetrate the $1.3940 ceiling, renewed selling pressure may emerge. The first line of support is established at $1.3620, with secondary support at $1.3550.

A breakdown beneath $1.3550 would likely trigger a retest of $1.3450, with $1.3350 as the next potential target. Further weakness could bring the $1.32 level into focus.

Conversely, a clean break above $1.3940 would expose $1.4720, representing the 61.8% Fibonacci retracement of the decline from $1.5495 to $1.3465.

Continued strength beyond $1.4720 would then set up a challenge of the $1.50 resistance zone and, if momentum persists, $1.52.

XRP futures Open Interest holds steady at $2.93 billion as of Wednesday’s session, while ETF inflows maintain their positive four-day trajectory with cumulative flows standing at $1.39 billion.

The post Ripple (XRP) Hovers at $1.37 While ETF Inflows Surge Past $1.39 Billion Mark appeared first on Blockonomi.