“Traders are watching if XRP can reclaim the $2.31-$2.32 range or remain in a descending channel.”, — write: www.coindesk.com
News backgroundXRP traders are weighing a short-term breakdown in the spot price against a longer-term bullish setup on the XRP/BTC ratio.
Chartist “The Great Mattsby” said XRP/BTC is close to breaking above the monthly Ichimoku cloud for the first time since 2018, a shift that historically signals XRP is positioned to outperform bitcoin if confirmed. The setup is drawing attention as cross-asset rotation narratives start to re-emerge early in the year, even as spot markets remain sensitive to liquidity pockets and stop-driven moves.
That relative-strength framing matters because XRP’s latest selloff came with evidence of forced selling rather than a slow bleed — the kind of move that often resets positioning and sets up a cleaner technical base if buyers can hold key levels.
Technical analysisXRP fell 5% over the 24-hour period ending Jan. 7 at 02:00, dropping from $2.39 to $2.27 after losing $2.32 support and extending a descending channel that has capped recent rebounds.
The key event came at 16:00 on Jan. 6, when volume surged to 256.3 million (142% above the 24-hour SMA) and price printed the session low at $2.21. That spike behaved like a capitulation-style flush: aggressive selling hit the tape, but follow-through failed to push the market materially below $2.21, implying demand absorbed the move.
From there, XRP attempted to recover but stalled near $2.31, reinforcing that zone — along with the broken $2.32 level — as the first meaningful resistance band. The inability to reclaim that range keeps the near-term structure bearish, even as the market shows signs of stabilizing after the high-volume low.
Short-term action suggests the base is trying to form. The 60-minute structure showed multiple defenses of the $2.258-$2.260 area, with higher lows developing after the 01:33 low at $2.257. Buying volume concentrated on pushes higher, while pullbacks came on lighter activity — a constructive look, but still inside a broader downtrend until $2.31-$2.32 is reclaimed.
Price action summary
- XRP fell from $2.39 to $2.27, breaking below $2.32 support
- The session low printed at $2.21 during a 256.3M volume surge (142% above average)
- Recovery attempts have repeatedly stalled near $2.31, keeping the descending channel intact
- Intraday stabilization formed around $2.258-$2.260, with buyers defending the range multiple times
What traders should knowThe trade is clean right now: $2.21 is the line, and $2.31-$2.32 is the gate.
- If $2.21 holds and XRP can reclaim $2.31-$2.32, the move starts to look like a high-volume shakeout followed by a trend resumption attempt — opening the path back toward $2.39, where overhead supply from the breakdown sits.
- If $2.21 fails, the capitulation low stops being a floor and turns into a trigger. That would likely invite another wave of liquidation-style selling into the next demand pocket (which traders will typically map using prior consolidation zones and market structure rather than a single indicator).
The other layer to watch is XRP/BTC: the monthly Ichimoku setup getting circulated by Mattsby is a relative-strength signal, not a spot-price guarantee — but if XRP/BTC confirms the breakout, it increases the odds that dips in XRP are bought more aggressively than dips in bitcoin, especially during risk-on rotation windows.
KuCoin captured a record share of centralized exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the broader crypto market.
- KuCoin recorded over $1.25 trillion in total trading volume in 2025equivalent to an average of roughly $114 billion per monthmarking its strongest year on record.
- This performance translated into an all-time high share of centralized exchange volumeas KuCoin’s activity expanded faster than aggregate CEX volumeswhich slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly spliteach exceeding $500 billion for the year, signaling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activityreinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activityindicating structurally higher user engagement rather than short-lived volume spikes.
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New-year allocations support bitcoin prices as leverage cools and volatility expectations rise.
- Bitcoin remains stable above $90,000, reflecting consolidation rather than renewed selling pressure.
- Ethereum shows resilience with strong weekly and monthly performance, despite a cooling in futures positioning.
- Gold is expected to reach new highs in 2026 due to falling rates, central bank buying, and geopolitical risks.
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