XRP Sentiment Turns Bearish Amid October's Market Downturn

XRP's price has been trading weakly since the start of October, with a decline in the asset's social sentiment.

According to Santiment, XRP's social sentiment has deteriorated sharply, with a bullish-to-bearish comment ratio of 0.67, the lowest reading since August 17.

This bearish sentiment is not shared by all market observers, however. Veteran trader Peter Brandt has presented a more nuanced technical picture for XRP, highlighting an inverse head-and-shoulders formation that could support a short-term bounce toward $2.

However, this potential recovery is within a larger ascending triangle structure, meaning a move toward $2 would represent a near-term rebound rather than confirmation of a breakout.

Additionally, analyst Ali Martinez highlighted an ascending triangle on XRP's monthly chart, identifying $3.66 as a key resistance level. He suggested that a monthly close above this threshold could open the way toward $31.87.

Meanwhile, exchange balances have dropped from about 12.9 billion to 11 billion since April, pointing to less XRP readily available on exchanges, a potentially positive supply signal for the token.