XRP traded near $1.05 on Aug. 6, extending losses for a fourth straight session and pressing toward the psychological $1 support level. U.S. spot XRP ETFs booked $3.58 million in net outflows a day earlier, adding to signs that institutional demand has cooled. Traders are now watching whether the token holds $1 or breaks toward deeper support near $0.88.
XRP traded near $1.05 on Aug. 6 after extending its decline for a fourth consecutive session, leaving the token close to the closely watched $1 support level. The pair moved in a 24-hour range of $1.04 to $1.07, down 1.1% over that stretch and 64.3% over the past year. XRP's market capitalization stood near $65.5 billion on daily trading volume of about $1.28 billion, and the token remains roughly 71% below its July 17, 2025 record of $3.65.
XRP tests its most important support level
The $1 area has repeatedly limited XRP's downside since November 2024. Price spent much of February through June between roughly $1.18 and $1.55 before losing the lower edge of that range, and buyers have since defended a narrower band between $1 and $1.18 without setting a higher high.
A daily close below $1 would not guarantee a fall toward $0.50, but it would expose $0.85 and $0.70 as deeper support if the psychological floor fails. Immediate support sits near $1.04 to $1.05, while $1.055 to $1.06 has flipped to resistance after a recent trendline break; a rejection there could return focus to $1 and $0.96.
ETF outflows weaken a U.S. demand signal
U.S. spot XRP ETFs recorded $3.58 million in net outflows on Aug. 5 after muted activity in the prior session, while the token traded near the bottom of its daily range. The outflow is modest against cumulative inflows, yet it adds to signs demand has slowed since XRP funds ended a nine-week inflow streak in July.
The weakness persists despite regulatory progress: Ripple received full authorization under the European Union's Markets in Crypto-Assets framework on July 6, with its Luxembourg license covering all 30 European Economic Area countries. That progress, however, does not guarantee stronger demand for XRP or a higher token price.
Technical indicators keep sellers in control
The daily chart remains bearish, with XRP trading below its main moving averages and struggling to recover above $1.10. The relative strength index reads 39.47, below its own moving average of 44.14, while the MACD line sits near minus 0.0130, below a signal line around minus 0.0108 — readings that show downside momentum remains active rather than confirming a reversal.
Market analyst EGRAG CRYPTO described $1.05 as support but "not confirmation," placing $1.11 as the first sign of strength, followed by $1.21, $1.28 to $1.30 and $1.38. A three-day close above $1.50 to $1.51 would offer stronger evidence that a bottom has formed.
What happens next for XRP
The immediate decision sits between $1 and $1.11. Holding $1 would preserve the current range, reclaiming $1.11 would mark the first improvement, and a move above $1.21 would challenge the recent run of lower highs.
A close below $1 would strengthen the bearish setup and bring $0.96 and $0.88 into focus, though no move toward the deeper $0.50 region has been confirmed. A 21Shares XRP ETF filing shows the sponsor intends to switch to a new FTSE benchmark around Aug. 24 and end its CF Benchmarks agreement on Aug. 31, a change that does not predict fund flows or price direction.
Source: crypto.news
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