XRP Price Prediction: $20M mXRP Staking Spike vs Bearish Chart Setup
XRP’s ecosystem has been asleep for years but maybe not for much longer. A new staking product called mXRP has already sucked...
Quick overview
- XRP's ecosystem is experiencing renewed interest with the launch of the mXRP staking product, attracting nearly $20 million in just days.
- mXRP allows XRP holders to engage in yield opportunities on an Ethereum-compatible sidechain, expanding its use cases beyond traditional payments.
- Despite positive developments, XRP's price is facing bearish pressure, currently stabilizing around $2.77 with key support levels at $2.70 and $2.59.
- Traders are advised to consider a bearish bias while XRP remains below $2.87, with potential short entry points identified.
XRP’s ecosystem has been asleep for years but maybe not for much longer. A new staking product called mXRP has already sucked in nearly $20 million worth of tokens in just days. The vault initially capped deposits at 6.5 million XRP and then 10 million when demand went through the roof.
Unlike idle holdings, mXRP is a wrapped version of XRP on an Ethereum-compatible sidechain. Deposited tokens are put into strategies managed by independent managers and the results are reflected in the token’s price. In practice this means holders are exposed to yield opportunities like liquidity provisioning — something Ethereum users are familiar with but XRP Ledger users are not.
Midas, the tokenization platform, says XRP’s massive supply has been underutilized. Cross-chain providers like Axelar say these experiments extend XRP’s use cases beyond payments into lending and stablecoin liquidity. Flare’s FXRP, another wrapped format, is part of a broader push to integrate XRP into DeFi.
XRP/USD Technical Pressures Build
While the fundamentals suggest new use cases, the charts tell a different story. XRP is at $2.77, stabilizing after a big drop to $2.70. On the 4-hour chart, price is stuck in a descending triangle, a bearish continuation pattern. Lower highs are pressing against flat support, sellers are in control.
Candle action reinforces this. Several recent candles have long upper wicks, rejection around $2.82-$2.85. XRP is below its 50-EMA ($2.87) and 200-EMA ($2.94), a bearish crossover setup. Momentum is with the sellers.
The RSI is 41, not oversold but not bullish either. No bullish divergence has emerged, the downtrend has no signs of exhaustion. A clean break below $2.70 could open up $2.59 and $2.50, both previous support levels.
XRP/USD Trade Setup and Outlook
For traders, the bias is bearish while XRP is below $2.87. A short entry between $2.77-$2.82 with a stop above $2.90 is a good risk profile. Initial targets are $2.70, extended to $2.59 if the triangle resolves lower.
- Bearish below $2.87
- Support: $2.70, $2.59, $2.50
- Resistance: $2.87, $2.94
For newbies, think of XRP as boxed in: every bounce hits a lower ceiling, $2.70 floor looks weak. Unless bulls take out $2.90 with authority, sellers are in control.
Fundamentally, mXRP’s rapid adoption shows a community eager for new ways to use XRP. But short-term charts are bearish, this is a battle between innovation optimism and chart caution.
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