XRP dropped to $2.27, breaking below the $2.32 support level, and briefly touched $2.21 during a volume spike of 256.3 million tokens (142% above the 24-hour average). The price recovered but stalled near $2.31, keeping the short-term structure bearish.
Rare Monthly Ichimoku Breakout on XRP/BTC
Chartist “The Great Mattsby” highlighted that the XRP/BTC monthly chart is approaching a breakout above the Ichimoku cloud for the first time since 2018. Developed by a Japanese journalist in the 1960s, the Ichimoku system identifies support, resistance, momentum, and trend changes. A confirmed breakout above the cloud historically signals that XRP is positioned to outperform bitcoin, drawing attention as cross-asset rotation narratives re-emerge early this year.
Despite the spot selloff, the concentrated volume surge suggests a capitulation-style flush rather than a slow bleed. Such moves often reset positioning and create a cleaner technical base if buyers can defend key levels.
Price Action: Key Low at $2.21
XRP fell 5% over the 24-hour period ending Jan. 7, from $2.39 to $2.27. The session low at $2.21 coincided with a volume spike on Jan. 6 at 16:00, reaching 256.3 million (142% above the 24-hour SMA). The aggressive selling failed to push the market materially below $2.21, implying demand absorbed the move.
Recovery attempts stalled near $2.31, reinforcing that zone and the broken $2.32 level as the first meaningful resistance band. The inability to reclaim that range keeps the near-term structure bearish, although the high-volume low indicates stabilization. On the 60-minute chart, the $2.258-$2.260 area was defended multiple times, with higher lows forming after the 01:33 low at $2.257. Buying volume appeared on pushes higher, while pullbacks saw lighter activity — a constructive look, but still inside a broader downtrend until $2.31-$2.32 is reclaimed.
Key Levels to Watch
- Support: $2.258-$2.260 (short-term), $2.21 (volume low)
- Resistance: $2.31-$2.32 (first resistance band), $2.39 (previous high)
- XRP/BTC monthly Ichimoku cloud confirmation: a monthly close above the cloud would strengthen the case for XRP outperforming BTC