Key Takeaways:

  • XRP price drops 3%, lagging behind the broader crypto market

  • Negative social sentiment reaches highs, historically a contrarian signal

  • Technical breakdown below $1.88–$1.90 weakens short-term structure

Immediate Price Move And ETF Activity

XRP declined 2.4% over the past 24 hours, underperforming the broader crypto market at -2.6%. The token fell below the key $1.90 area, accelerating downside momentum during thin holiday liquidity.

Despite the price drop, XRP ETF products recorded $43.9 million in daily inflows, extending an uninterrupted streak since launch. Cumulative net inflows now exceed $1.1 billion, highlighting steady positioning by early allocators.

Social Sentiment Hits Extreme Fear Levels

Market data shows extreme negative sentiment dominating XRP-related discussions. According to Santiment, metrics indicate bearish social chatter at levels last seen in November this year, a period that preceded a sharp rebound.

Retail-driven fear has intensified even as the XRP Ledger has processed over 4 billion transactions. Historically, such sentiment extremes often coincide with exhaustion in selling pressure, though near-term confidence remains low.

 

Technical Structure Weakens Below Key Levels

From a technical standpoint, XRP price breached the 78.6% Fibonacci retracement at $1.88, a critical support zone. Short-term trend references now sit above price, including the 10-day EMA at 1.919 and 30-day SMA at 2.043, reinforcing bearish control.

Momentum indicators remain fragile, with RSI near 41, offering no oversold relief. Longer-term averages, such as the 50-day EMA at 2.123 and 200-day EMA at 2.404, underline the depth of the current downtrend.

 

Broader Market Context And On-Chain Signals

The decline aligns with sector-wide altcoin pressure as Bitcoin dominance rose to 59%, pulling capital toward BTC. On-chain data also shows reduced activity, with new XRPL addresses averaging 3,440. Meanwhile, the value held by large holders has eased to roughly $104 billion, suggesting cautious risk management among whales.

 

XRP Outlook: Key Levels And Catalysts To Watch

The near-term XRP forecast hinges on sentiment stabilization and broader market direction. Analysts are watching $1.88 as a critical level, with downside risk toward $1.70–$1.81 if weakness persists.

On the upside, a recovery above $1.95 could ease technical pressure and test sentiment exhaustion. For now, the XRP update reflects a market split between fearful retail positioning and steady institutional interest through ETFs.