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XRP Price Struggles to Defend Key Level Amid Weak Market Sentiment

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XRP has maintained its price above $1 for an impressive 635 days, dating back to November 16, 2024. Despite a significant drop in value over the past year, with XRP losing roughly half of its value in five months, buyers have consistently stepped in to defend this key psychological level.

This trend nearly broke on August 11 when XRP dipped to $0.99 before recovering to close above $1. However, the pressure is building as the price trades below every moving average used by traders, with both the 20-day and 50-day averages sloping downward.

The daily trading volume has dropped from $1.27 billion to around $847 million in 24 hours, making it easier for sellers to push the price down. Furthermore, XRP dropped 3.9% last week while Bitcoin gained 1% and Ethereum 0.5%, making it the weakest of the large cryptocurrencies.

The CLARITY Act, which would classify XRP as a commodity under federal law, is still stuck in the Senate and faces a procedural vote on September 15. Until then, there's no catalyst to lift the price, leaving XRP vulnerable to a potential break below $1.

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