Analyst: XRP Is Oversold. Here’s What Is Coming

XRP has drawn significant attention after a drop to $2.16 on November 18, 2025. This decline occurred amid a broader market pullback, raising questions about whether the token has become oversold.

Investors and analysts are now closely watching on-chain data and technical indicators for signs of a potential rebound. STEPH IS CRYPTO highlighted this trend, posting “XRP is oversold!” alongside a Bitstamp XRP/USD chart showing green-to-red price action.

Steph’s observation reflects the growing consensus that XRP may have moved beyond a typical market correction. His commentary also underscores the interplay between institutional adoption, market sentiment, and short-term price dynamics.

On-Chain Insights: Rising Unprofitability

Recent on-chain data reveal that approximately 35% of XRP’s circulating supply is currently unprofitable. This marks a significant increase from previous levels and often signals a market bottom for sellers.

When a large portion of holders is underwater, selling pressure tends to ease, creating potential for recovery.

The token’s 16% drop from its November peak reinforces this signal, indicating oversold conditions are influencing price action. Steph emphasizes that such on-chain trends frequently precede short-term rebounds in highly liquid crypto markets.

Technical Landscape: Key Support Levels

From a technical perspective, XRP is testing critical support near $2.15, a level closely monitored by analysts. Maintaining this support could open the path for a rebound toward $2.28 or higher in the short term.

Daily moving averages, however, highlight bearish risks below $2.19, suggesting that momentum remains fragile.

Machine learning models project a potential 5% recovery to $2.28 by November 30 if positive momentum resumes. This scenario aligns with Steph’s assessment, pointing to a tactical window for traders seeking opportunity.

Market Sentiment and Strategy

Investor sentiment currently blends caution with opportunity, given XRP’s oversold state and recent institutional adoption. A recovery may materialize if buyers enter around the $2.15 support zone, reinforcing market confidence.

Conversely, a breakdown below this level could trigger deeper short-term corrections, underscoring the need for vigilance. Traders are advised to monitor price action carefully rather than acting impulsively, waiting for clear confirmation.

Key factors include retention of support, technical signals, and potential catalysts such as ETF developments or institutional inflows.

Oversold or Opportunity?

XRP’s steep decline and elevated unprofitable supply reflect classic oversold conditions. If support holds, a rebound to $2.28 appears plausible, presenting a short-term trading opportunity. Nevertheless, bearish risks remain beneath critical levels, highlighting the importance of cautious observation.

In conclusion, XRP now sits at a critical juncture. Oversold indicators hint at potential recovery, but traders should watch support, momentum, and market catalysts closely.