XRP Must Defend This Price Level to Keep the Bullish Vision Alive

Amid the ongoing pullback following the August rally, XRP must defend its current price level to maintain its bullish trend.

XRP has reached an important point as it tries to hold on to its recent recovery. Currently, XRP trades at $1.39, with a market capitalization of $86.94 billion. The token has also fallen 1.79% over the past 24 hours. This decline follows XRP’s 28.5% gain in August, its strongest August performance in five years.

However, XRP has struggled to keep that momentum going. The token briefly moved above $1.42 during its recovery before falling back toward $1.396. With the price now sitting close to a key support area, the next few trading sessions could determine whether buyers can keep the recovery on track or sellers push the price lower.

XRP Faces Test Around $1.39

The broader crypto market has also made the situation more difficult for XRP. Total crypto market capitalization has dropped 3.12% to about $2.69 trillion, while Bitcoin dominance has climbed to 59.12%. When Bitcoin takes up a larger share of the market, altcoins such as XRP often struggle to attract the same level of buying interest.

At the same time, the Fear & Greed Index stands at 71, which keeps overall sentiment in the Greed category despite crypto prices pulling back. 

XRP has entered a period of consolidation below several moving averages after traders took profits near resistance. Still, the token remains slightly above its 200-day simple moving average (SMA 200) at $1.3927.

This makes the $1.39 area especially important. XRP currently has immediate support at $1.3887. A confirmed break below this level could weaken the current price structure and open the way toward the $1.36-$1.35 area, which several analysts consider the next major demand zone.

The momentum indicators also show that buyers have lost some strength. The XRP RSI sits around 41, showing weaker momentum but remaining above oversold levels. The daily MACD histogram reads -0.01, which also indicates a slowdown in bullish momentum.

XRP Needs to Reclaim $1.40

XRP’s range from the previous trading session shows that the token reached $1.41 at its highest point and fell to $1.38 at its lowest. This places the $1.38-$1.42 range at the center of the current price action.

For XRP to regain stronger upward momentum, buyers need to push the token back above the $1.4018-$1.4057 range and hold that area. A successful move above this zone could put $1.4132 next, followed by $1.4267.

Until XRP moves back above the $1.4057-$1.4132 range, the recent rebounds could remain short-term recoveries rather than signs of a renewed uptrend. As a result, buyers have two clear tasks: defend $1.3887 and reclaim the $1.4018-$1.4057 area.

If XRP loses $1.3887, however, selling pressure could increase quickly. In that case, traders could turn their attention to $1.36-$1.35, where the next major support area sits.

XRP ETFs Continue to Attract Capital

While the short-term chart looks uncertain, XRP continues to receive support from the institutional side. Spot XRP ETFs recorded $18.96 million in net inflows during the week ending Sept. 4, extending their positive streak to eight consecutive weeks.

The latest inflows came after an even stronger week. Specifically, during the week ending Aug. 28, XRP ETFs recorded $110.49 million in net inflows, marking their largest weekly intake of 2026. Cumulative net inflows have now reached about $1.68 billion.