XRP Supply Tightens On Binance As Scarcity Index Signals Limited Liquidity
XRP has reclaimed the $1.40 level as the broader cryptocurrency market begins to show renewed bullish behavior after a period of volatility and consolidation. The recent move higher suggests that buyers are gradually regaining momentum, with traders closely monitoring whether the asset can sustain strength above this key psychological level. Selling pressure intensified toward the start of 2026, when XRP experienced a sharp breakdown that pushed the asset toward the $1.20–$1.30 region. This move was accompanied by a significant spike in trading volume, suggesting that the decline was driven by heavy liquidation and strong market participation.Related Reading
After that capitulation phase, XRP began forming a base around the $1.30–$1.40 zone, which now appears to be functioning as a short-term support area. In recent sessions, the asset has gradually moved higher, with price reclaiming the $1.45–$1.47 range as buyers attempt to regain control of the short-term trend.
However, the broader structure remains cautious. XRP continues to trade below its key moving averages, which are still sloping downward and acting as dynamic resistance levels.
From a technical perspective, the next important test lies near the $1.55–$1.65 zone, where previous consolidation occurred. A sustained breakout above that region could signal improving momentum, while rejection may lead to further sideways consolidation as the market absorbs the recent volatility.
Featured image from ChatGPT, chart from TradingView.com
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