XRP Under Pressure: Holders Anxious as Price Tests $2 Support

The cryptocurrency XRP is showing clear signs of market stress following a 12% weekly decline that has pushed its price below the critical $2.15 level. According to analyst Ali Martinez, the Net Unrealized Profit/Loss (NUPL) metric indicates a significant shift in investor sentiment, moving from euphoria to denial and now into anxiety territory. Martinez specifically noted that ‘anxiety is creeping in as $XRP flirts with a drop below $2,’ reflecting growing concern among long-term holders as their unrealized gains continue to erode.

The deteriorating sentiment is underscored by on-chain data showing that almost half of XRP’s total supply is now held at a loss, indicating substantial pressure on late buyers who entered the market at higher price points. The NUPL curve suggests that if the current decline persists, the market could progress from the current anxiety phase into fear, potentially followed by capitulation – a scenario that would likely trigger further selling pressure and price deterioration.

As XRP tests the $2.15 support level, on-chain positioning data reveals two crucial price zones that could determine the cryptocurrency’s near-term trajectory. According to Ali Martinez’s analysis, approximately 1.9 billion XRP were last moved around the $1.91 price level, while another 1.8 billion tokens changed hands at $1.73. These levels represent significant psychological barriers where many current holders initially entered their positions.

The concentration of trading activity at these price points suggests they may function as support zones if the decline continues, as traders who purchased at these levels would likely be reluctant to sell below their cost basis. However, Martinez warns that a break below $1.73 would place XRP in territory with substantially less historical support, potentially opening the door to more significant downside movement. The token has already fallen into oversold territory according to technical indicators, adding to short-term risk concerns.

Despite the bearish price action and negative sentiment, technical analysts are presenting conflicting views on XRP’s immediate prospects. Analyst CryptoWZRD observed that XRP closed bullish on the daily chart, suggesting that a move above $2.28 could trigger upward momentum toward $2.41. However, the analyst also cautioned that failure to hold current levels could result in sideways price action, reflecting the uncertainty in current market conditions.

EGRAG CRYPTO identified a bullish divergence on the 3-day chart, noting that ‘if it plays out… it could become your exit plan and the rest of the market will likely follow.’ While this divergence indicates early signs of strength, the analyst emphasized that confirmation is needed before any sustained upward movement can be expected. ChartNerd highlighted a repeating technical pattern in XRP’s price structure that has previously preceded significant breakouts.

According to ChartNerd’s analysis, the current setup mirrors historical patterns featuring five downward waves, a test of descending resistance, and price holding at the $2.15 support level. Each previous instance of this pattern formation resulted in XRP breaking resistance and moving higher, with the current structure suggesting potential for a move toward the $3 area if support holds and resistance breaks again. The pattern remains valid as long as XRP maintains its position above the critical $2.15 level.