XRP fell over 15% in eight days after peaking near $1.29

XRP experienced a notable price decline after reaching a recent high of approximately $1.29 on June 16. As of June 24, the cryptocurrency was trading at around $1.057, marking a pullback of over 15% in just eight days.

XRP slips despite MiCA approval

The drop came on the heels of Ripple securing preliminary approval under the European MiCA (Markets in Crypto-Assets) regulatory framework via Luxembourg—a move expected to facilitate operations across the European Economic Area. While this development was anticipated to provide a boost, selling pressure dominated as investors opted to lock in recent gains rather than chase higher prices. Ripple remains best known for its focus on cross-border payments within the fintech sector.

At the same time, Bitcoin faced weakness, briefly sliding below $62,000. This downturn in the leading digital asset limited broader crypto market risk appetite. Ongoing high interest rates and shifting investor focus toward AI and semiconductor stocks instead of cryptocurrencies have continued to dampen speculative capital inflows into the sector throughout the second quarter.

Technical outlook flags limited signs of recovery

Prominent crypto analyst Altcoin Sherpa assessed that XRP’s short-term chart remains weak and signaled that a retreat toward $0.75 would not be surprising. This reflects the prevailing caution in the market.

On the four-hour chart, a descending wedge pattern has formed—a technical structure that can potentially precede a trend reversal if selling pressure wanes.

Glossary: A descending wedge is a pattern where price forms lower highs and lower lows within two converging trendlines. If selling eases, a breakout to the upside may occur.

XRP has approached the lower boundary of this wedge and the support area around $1.08. Should a bullish breakout emerge, resistance is expected at $1.13, $1.16, and $1.19. Meanwhile, the four-hour MACD indicator remains below the zero line, reinforcing near-term bearishness. On the daily chart, XRP’s RSI hovers near 36, indicating the asset is approaching oversold territory.

XRP supply on exchanges increases

According to CryptoQuant data on June 22, the XRP Scarcity Index on Binance dropped to 0.34, its lowest in three months. This is a significant decline from the 0.80 levels seen in April and May, pointing to a sharp increase in the amount of XRP available for trading on the platform. Unless demand accelerates, this rising supply could continue to weigh on price.

CoinGlass data highlights a heavily concentrated liquidation zone between $1.13 and $1.15. If buyers can defend current support, this region could see rapid upward movement. In the last 24 hours, $13.53 million in XRP derivatives were liquidated—with $13.01 million consisting of long positions. The largest liquidation was at Binance with $7.59 million, followed by $2.57 million on Bybit.

Should XRP fall decisively below $1.08, the next support levels will be watched at $1.05 and $1.00.

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