XRP is struggling to maintain its position near the psychologically significant $1 level on the monthly chart, with technical indicators showing mounting downward pressure. According to TradingView data, the XRP/USD pair appears to have roughly another 15 percent room to fall before testing the lower boundary of the Bollinger Bands. This scenario suggests that the price may soon retest the critical $1 threshold, a level watched closely by the market.
Deepening technical pressure
A key reason for growing risk is that XRP’s recent price drop has coincided with a pronounced narrowing in the Bollinger Bands. Historically, such squeezes have set the stage not only for extended periods of sideways movement but also for sharp price swings in either direction. As a result, market participants are now monitoring XRP’s technical outlook more closely than ever to anticipate its next move.
The latest data shows XRP trading at $1.1233, having lost 15.62 percent of its value this month alone. The chart reveals that after falling below the middle band—represented by the 20-period moving average at $2.0620—the next major target has become the lower Bollinger Band, currently at $0.9306.
Mini glossary: Bollinger Bands are a technical indicator used to measure price volatility. When the bands tighten, it typically signals lower volatility and often precedes a more significant price move.
With XRP dipping below the Bollinger Band’s middle line and targeting $0.9306 at the lower band, the area around this level has emerged as the most critical technical zone for market monitoring.
Liquidation risk and waning market interest
CoinGlass data indicate that the gap toward $0.9306 is now crowded with stop-loss orders from leveraged long positions. Should these orders be triggered, there is potential for rapid, automatic liquidations that could quickly intensify selling as XRP approaches the psychological $1 mark. This chain reaction mechanism is seen as a key risk for further downward price pressure.
The soft price performance persists despite the existence of spot US XRP ETFs. Although institutional funds have seen a total inflow of $1.43 billion, reports suggest some investors are taking advantage of the decline to trim their holdings. Nevertheless, these inflows remain limited compared to the broader drop-off in overall trading volume and market participation.
External factors shaping capital flows
External market dynamics are also heightening the pressure on XRP. The keen anticipation surrounding SpaceX’s upcoming stock listing on June 12 is said to be drawing global capital away from digital assets and into other opportunities. As Elon Musk’s space and rocket company, SpaceX often attracts considerable investor attention due to its high private market valuation.
In this context, ETFs have mostly maintained passive positions, and retail investors have struggled to generate enough volume and momentum to counter the downward trend. This has made technical support levels even more critical in determining XRP’s near-term trajectory.
If institutional buyers waiting around the historical $0.9306 support level fail to step in, a break below the lower Bollinger Band could leave XRP trading below $1 throughout the summer, according to market observers.
