XRP is back at a decision point after a sharp run and a fast pullback, with traders now watching whether buyers can defend the $1.34-$1.36 zone or whether the chart rolls over into a deeper correction.
- $1.34-$1.36 is the immediate support area now in focus.
- $1.46 has already failed as support and is now the first reclaim level.
- A bullish roadmap points to $1.70, then $2.00, $2.40, and a conditional $2.60.
- Spot XRP ETFs are a potential tailwind, but they are not a magic wand.
Crypto analyst Diana, known as InvestWithD, laid out the technical setup after XRP climbed from roughly $1.00 to above $1.50 in August and then pulled back. Her view is straightforward: if the current support zone holds, XRP can try to rebuild. If it doesn’t, lower levels are waiting with all the charm of a tax audit.
“$1.46 support failed, and XRP has now dropped to roughly $1.38, putting the $1.34-$1.36 zone directly in play, ”
That quote captures the setup in one line. The market already lost one support level, and now the next one has to carry the weight. In technical analysis, support is where buyers are expected to step in. Resistance is where selling usually shows up. These levels are not laws of nature. They are zones where people tend to behave the same way until they suddenly don’t.
Diana’s roadmap is conditional, not a promise. First, XRP needs to defend the $1.34-$1.36 area. If it can do that, the next step is reclaiming $1.46, which often turns into resistance after a breakdown. After that comes $1.70, then the higher targets at $2.00 and $2.40, with $2.60 described as the upper end of the bullish path.
That sequence is the real point. $2.60 is not being sold as some immediate destination from current levels. It is the far end of a ladder that still has several missing rungs. In plain English: XRP has to prove it deserves each step up before anyone starts renting the yacht.
The momentum picture also explains why traders are paying attention. During the August rally, XRP’s four-hour RSI pushed above 80, which is an extreme reading and usually signals the asset has become overheated in the short term. RSI, or Relative Strength Index, is a momentum indicator used to gauge whether price is running too hot or too cold. When that reading later fell to around 42-43, it showed the rally had cooled, but it did not by itself confirm a breakdown.
That distinction matters. An RSI reading in the low 40s is not a death sentence. It usually just means momentum has normalized after a strong move. The real question is whether the pullback becomes a healthy reset or the start of a larger unwind.
If $1.34 gives way, the next support area to watch is roughly $1.29-$1.30, followed by additional levels near $1.20 and $1.17. Those are the kind of areas traders often mark from prior consolidation and reaction zones, where price has already shown it can pause or bounce. If the market smashes through them, the mood changes fast.
There is also a more constructive backdrop underneath the chart: spot XRP ETFs. According to BSCN, spot $XRP ETFs saw $23.87 million in net inflows on August 25, their strongest daily result since May 11. The same reporting said the products attracted about $25.8 million on May 11 and absorbed roughly $77 million over the last six trading sessions, with holdings said to be more than 1.6% of XRP’s supply.
That last figure should be treated carefully unless a specific methodology is provided. “XRP’s supply” can mean circulating supply, total supply, or fully diluted supply, and those are not interchangeable. The important part is simpler: there appears to be real demand for spot XRP exposure, and that demand is material enough to matter.
Spot ETFs hold the underlying asset directly rather than a derivative contract tracking it. So when money flows into those funds, the issuer may need to buy XRP to back new shares. That can support price over time, especially when flows are steady instead of just one-day headline candy.
But let’s keep the hype in its cage. ETF inflows are supportive, not a force field. They do not stop an asset from correcting if momentum breaks, liquidity thins out, or the broader crypto market turns risk-off. A lot of traders love to act as if “fund inflows” automatically mean “number go up.” That is cute. It is also wrong.
The cleanest read here is that XRP sits at a technical crossroads with a potentially supportive demand backdrop. The bullish case is still alive, but it now comes with conditions attached. Buyers need to hold the current floor, reclaim $1.46, and then keep pressing higher. If they fail, the chart may simply be telling everyone that the August surge was impressive, but not yet durable.
Key questions and takeaways
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Why does the $1.34-$1.36 zone matter?
It is the immediate support level now in play. If buyers defend it, XRP can keep its bullish structure intact for another leg higher. -
What does it mean that $1.46 failed?
A broken support level often becomes resistance on the next attempt up. XRP likely needs to reclaim it before bulls can credibly talk about continuation. -
Is $2.60 a near-term target?
No. It is a conditional upper target that depends on XRP holding support, reclaiming resistance, and building momentum in stages. -
Do spot XRP ETF inflows automatically lift the price?
No. They can help by creating real demand for XRP, but broader market sentiment and liquidity still drive the short-term move. -
Is this just a normal pullback or something worse?
Right now it looks like a post-rally correction. If $1.34-$1.36 holds, that reading stays intact; if it breaks decisively, the odds shift toward a deeper retracement.
XRP still has a constructive path, but the burden of proof is on buyers now. Hold the floor, reclaim the lost levels, and the bullish roadmap stays alive. Lose the floor, and the market gets a lot less polite very quickly.
Further reading
A few extra XRP tracks worth keeping on the radar if you want the chart, the flows, and the technicals all in one place.
