Open Interest Plummets…XRP Loses Strength!

▲ XRP/AI-generated image ©

XRP (Ripple) continued its sideways movement around $1.40, with both individual and institutional investors adopting a wait-and-see approach, and a clear slowdown in upward momentum became evident.

According to investment media FXStreet on May 4 (local time), XRP is currently forming a box range between the $1.30 support level and the $1.40 resistance level, maintaining a limited upward trend. The price is attempting to rebound while staying within the $1.40 supply zone, but it has failed to establish a strong trend due to weakening demand.

Supply and demand indicators clearly reflect the market's cautious stance. XRP futures open interest remains around $2.5 billion, a significant decrease from the $10.94 billion recorded in July 2025. This suggests that individual investors remain skeptical about the sustainability of a short-term rally.

Institutional capital flows have also weakened. According to SoSoValue, XRP spot ETFs recorded a net outflow of $35,210 last week. While cumulative net inflows remain at $1.29 billion and assets under management are approximately $1.06 billion, recent trends indicate a clear slowdown in capital inflows.

Technically, the direction is also limited. XRP is moving below the resistance zone where the 50-day exponential moving average at $1.41 and the Bollinger Band midline overlap, limiting its upward movement. The Relative Strength Index is consolidating near the neutral line of 50, and the Moving Average Convergence Divergence (MACD) has slightly dipped into negative territory, indicating a lack of clear momentum.

On the upside, the $1.41, $1.47, and $1.50 levels are presented as key resistance zones, and a breakthrough could open the possibility of an ascent to $1.74. Conversely, on the downside, $1.36 serves as the primary support level, and if this zone collapses, selling pressure could intensify again, increasing the likelihood of further correction. The market is expected to continue its sideways movement without a clear direction for the time being.

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