XRP is trading at $2.20 after falling over 10% in the past week. Market attention has shifted to whether the current conditions could signal a short-term recovery.
Volume remains high, and the asset is now sitting near technical levels that have triggered previous rebounds.
Oversold Indicators and Divergence Signals
Recent charts show XRP entering oversold territory based on the Stochastic RSI. The current weekly reading stands at 2.73, which is deep in the lower range. Previous dips to this zone have often been followed by sharp upside moves, including gains of 53%, 216%, and 591% in past cycles.
Analyst Steph Is Crypto noted that “$XRP is oversold!” and shared examples of how similar setups led to strong price recoveries. While the reading suggests reduced downside momentum, traders are waiting to see whether the price structure can turn in favor of a bounce.
On the daily chart, a bullish divergence has appeared. While the asset has been making lower lows, the RSI has shown higher lows. This signal, shared by EGRAG CRYPTO, often appears when downward pressure starts to ease. Still, confirmation would require XRP to move higher and reclaim previous resistance.
#XRP – Testing The Descending Channel: pic.twitter.com/6D6QMftChM
— EGRAG CRYPTO (@egragcrypto) November 18, 2025
Currently, XRP is testing the upper boundary of a descending channel that has defined its trend since early 2025. The asset is hovering around $2.19–$2.20, directly on the top trendline of this pattern. EGRAG CRYPTO shared a weekly chart showing that the price has reached a key decision zone.
Fibonacci levels point to possible upside targets at $2.78, $4.41, and $5.21, with $3.40 marked as the first key resistance. XRP previously rallied out of a similar range in late 2024. Traders are watching closely to see if this setup repeats.
On-Chain Activity and Exchange Inflows
According to data from CryptoQuant, XRP saw large inflows to Binance over the last month. On October 25 and November 15, exchange wallets received sharp increases in deposits, with the largest reaching over 70 million tokens. These events occurred during a steady price decline, raising concern that further selling could follow.
Large exchange inflows can be linked to increased selling pressure. The timing of the largest inflow suggests that some holders may have chosen to exit positions, adding weight to the ongoing correction.
During this period, Glassnode’s recent data shows that almost 42% of XRP holders are currently at a loss.
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