XRP Price Action Hinges on Support Zone Amid Cautious Derivatives Sentiment

Ripple's price action has been under scrutiny lately as it nears its 200-day Exponential Moving Average (EMA) at $1.344. This level is considered initial support in FXStreet's technical outlook, but it remains to be seen whether XRP can hold above the $1.35-$1.30 area or extend lower.

The token has been trading near $1.35 on Thursday after falling more than 3% overnight. Both XRP and Stellar's XLM have lost around 2% and 3%, respectively, this week as they approach support zones that could determine their next directional move.

FXStreet notes that the technical picture for XRP remains constructive, with major moving averages holding strong, but momentum has moderated, and derivatives signals are mixed. The chart shows a horizontal support area around $1.300, with the 50-day and 100-day EMAs also below the current price.

CryptoQuant's data indicates bearish sentiment in XRP's on-chain metrics, with futures markets showing sell-side dominance and low retail activity. CoinGlass reports an XRP long-to-short ratio of 0.83, suggesting more short positions and bearish sentiment.