The XRP price has come under renewed selling pressure, plunging nearly 3% over the past 24 hours as it continues to trade within a descending channel that has kept buyers on the back foot for weeks. Every recovery attempt has so far been met with fresh selling, leaving the token stuck below key resistance despite signs of improving market participation.
Even so, bulls are trying to defend the support; the question arises: Can XRP finally break free from its bearish trend and reclaim the $1.20 level? Will this push the crypto into the top 5 assets, surpassing USDC?
Can XRP Price Reclaim $1.20?
From a technical perspective, XRP continues to trade within a descending channel, keeping the short-term trend in favor of the bears. The latest pullback has pushed the token toward the channel’s lower boundary, where buyers are attempting to prevent another breakdown. However, the broader structure remains weak until XRP reclaims the upper trendline.
The chart also highlights a key order block between $1.10 and $1.12, which now serves as the first major resistance. A decisive daily close above this zone would invalidate the recent series of lower highs and strengthen the case for a rally toward the $1.20 psychological level.
Beyond that, the next major resistance lies near $1.35, where previous recovery attempts have stalled. The RSI is hovering around 42, suggesting bearish momentum has eased, but buyers have yet to gain enough strength to shift the trend decisively. Unless XRP breaks above the descending channel with strong volume, the current move is likely to remain a relief bounce rather than the start of a sustained uptrend.
On the downside, the $1.00-$1.02 support zone remains critical. Losing this region could invite another wave of selling, while holding it would keep the possibility of a breakout toward $1.20 alive in the coming sessions.
Derivatives Traders Continue to Bet on an XRP Recovery
Despite XRP’s recent pullback, derivatives data suggest traders are not abandoning their bullish outlook. Open Interest currently stands at around 325 million XRP, remaining elevated after climbing steadily over the past week. Rising Open Interest typically indicates fresh capital entering the futures market, reflecting growing participation rather than traders simply closing existing positions.
At the same time, the Funding Rate has stayed in positive territory at around 0.0022%, showing that long-position holders continue to pay a premium to maintain their exposure. This suggests that market participants still expect higher prices, even as XRP struggles to break out of its short-term bearish structure.
Can XRP Reclaim the Top 5?
While derivatives data points to growing bullish conviction, XRP’s price action has yet to confirm a meaningful trend reversal. The token must first overcome the $1.10-$1.12 resistance zone before buyers can realistically target $1.20, a move that would significantly strengthen market sentiment.
Beyond the technical outlook, reclaiming a spot among the top five cryptocurrencies by market capitalization will depend on sustained buying pressure and XRP outperforming its closest rivals. If bulls successfully break the current bearish structure and maintain momentum above $1.20, XRP could not only extend its recovery but also improve its chances of climbing back into the crypto market’s top tier.
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