XRP Price Drops 5% After Breaking Key Support Level

XRP's price has taken a hit, falling 5% to $1.39 as it erases some of its recent gains. This comes after the token broke below its previous quarter value area high at $1.43, which was once considered a key level of support but is now acting as resistance.

The analyst notes that while XRP briefly reclaimed this level following strong ETF inflows and favorable trading conditions, it has since failed to hold onto it. This has shifted the focus to a potential downside target at $1.30, although the expert does not expect a full drop to this level.

Despite the weak price action, order flow data suggests that XRP is not oversold, with funding rates dropping to low levels and cumulative volume delta pushing downward since Wednesday evening. This has kept the analyst from turning bearish, despite the current technical fragility.