XRP Price Outlook as Selling Pressure Hits Highest Level Since May Amid $1 Support Retest

Ripple (XRP) is down by 1.25% today, August 13, to trade at $1,01 at the time of writing. On-chain data now suggests that XRP is facing intense selling pressure near the psychological support at $1 as inflows to Ripple ETFs remain muted.

Futures data also shows that XRP’s open interest is rising despite the ongoing price decline, amid a surge in short positions on the token.

XRP Price Faces Intense Selling Pressure on Binance

Data from CryptoQuant shows that the XRP Taker Buy/Sell reading on Binance has dropped to 0.86, suggesting that there is a lot of selling pressure taking place on the derivatives market.

CryptoQuant analyst Arab Chain notes that when this reading drops below 1, it could increase the downward pressure on the price of XRP, especially if it coincides with a rise in trading volumes.

“A reading below 1 indicates that the volume of sell orders executed by traders exceeds the volume of buy orders, reflecting clear selling pressure from traders executing trades directly,” the analyst said.

The surge in selling pressure comes when the price of XRP has dropped to its lowest price since November 2024, of $0.99.

More sell-side activity could also occur on Binance after a recent report by CoinGape revealed that Ripple has moved 50 million XRP coins to the exchange.

XRP Price Prediction as Whale Buying Fails to Offset Downtrend

A recent CoinGape XRP price analysis noted that the number of whale wallets holding more than 1 million XRP coins has increased to 32, but this whale buying is not easing the downward trend.

The RSI reading on the one-day chart stands at 37, suggesting that the XRP price outlook is bearish. The RSI has also been making lower lows, with this also showing that bears are tightening their grip.

The ADX line that is tipping north also suggests that the downtrend is becoming strong, and this could push XRP below the psychological support at $1.

The price of XRP has also moved below the support at a descending triangle pattern of $1.01, with this move also suggesting that another drop could occur.

If XRP closes below this support at $1.01 for three straight days, the price could register a 22% decline and reach $0.78.

XRP price needs to close above the resistance at the upper trendline of this triangle pattern to invalidate the bearish thesis.

XRP ETF Activity Remains Muted as Short Positions Increase

Data from SoSoValue shows that XRP ETFs have not seen any inflows for four straight days since August 7 as demand for XRP by institutions weakens.

The lack of ETF demand also comes when the long/short reading for XRP has dropped to 0.91 on Coinglass, suggesting that there are more short positions than long positions on XRP.

XRP’s open interest has also increased from $2.28 billion on August 5 to $2.67 billion at the time of writing, with the rise likely coming from short sellers betting that the XRP price will drop further.