XRP Could Be Setting Up for Its Next Big Move: Here Are the Levels to Watch

XRP is trying to regain momentum after one of the most volatile weeks in recent months.

Ripple’s cross-border token was hit hard after the US Senate’s failure to advance the CLARITY Act, dumping from a weekly peak of $1.50 to under $1.30 before it rebounded to just over the latter.

Analysts now point to improving momentum and a possible rotation toward altcoins, which aligns with a major technical signal tailored for XRP.

XRP Has to Defend This Zone

Ali Martinez believes the immediate battle is straightforward: the cross-border token has to defend the $1.31-$1.35 support before a stronger move can unfold. The area is now acting as a key short-term support region, with the asset repeatedly hovering around it following this week’s selloff.

This is particularly important now as leveraged traders have started stepping back again after this week’s deleveraging, when the futures open interest dropped by over 20% in a few days. This suggests some speculative positions have been flushed out following the regulatory and macro volatility. Lower leverage can reduce immediate upside momentum, but it can also leave the market less vulnerable to another cascade of forced liquidations.