XRP price is showing short-term weakness after rejecting from the point of control, with supply entering at a high-volume node and downside risk increasing toward the $1.74 support level.
XRP’s recent rally started with strong momentum after the price defended the $1.74 support level, triggering an impulsive move higher. However, despite the initial strength, the rally has now shown signs of slowing as XRP encountered heavy resistance at a key volume-based level on the chart.
XRP Price Key Technical Points
- •XRP rallied impulsively after holding $1.74 support
- •Price rejected sharply at the Point of Control (high-volume node)
- •Trading below the POC keeps downside risk active toward $1.74
The rally began from a technically important zone. The $1.74 level acted as a structural support that attracted demand and forced price higher with impulse. From a market-structure perspective, impulsive moves are important because they often indicate greater participation and a clear directional shift, at least in the short term.
In XRP’s case, buyers showed conviction at support, and price responded cleanly, suggesting that the market still recognizes $1.74 as a key demand level. This is relevant because it defines the lower boundary of the local trading range and remains the main level that must hold to prevent a deeper correction.
However, rallies are not confirmed purely by the move off support. The next step is whether price can reclaim key value levels and sustain acceptance above them, which is where XRP began to struggle.
Rejection at the Point of Control Signals Supply
The most important development is the rejection from the Point of Control, which represents the highest traded-volume level within the range. The POC typically acts as a magnet and a pivot area; when price holds above it, structure improves and continuation becomes more likely. When price fails there, it often signals that sellers are absorbing demand.
XRP’s rejection at the POC was not minor. It was a harsh rejection that pushed the price back below the level quickly, suggesting strong supply pressure. This indicates that market participants are willing to sell into strength, limiting upside continuation and increasing the probability of a short-term pullback.
This behavior is consistent with volume-based resistance dynamics: high-volume nodes often require strong demand and follow-through volume to break. Without that, the price tends to reject and rotate lower back into the range.
Value Area Low Support Becomes the Immediate Pivot
After rejecting from the POC, XRP is now trading below it, with current support forming around the value area low (VAL). The value area low often acts as the lower boundary of accepted value within a range. When price trades above VAL, it generally indicates that the market is still in balance. When price loses VAL, it often results in a more rapid decline toward deeper support.
In this situation, VAL is holding as local support, but the key issue is that XRP is holding support while still trading below the POC. This places the market in a weaker position, as overhead resistance remains active and buyers must defend lower levels to prevent further declines.
If XRP fails to reclaim the POC and remains pressured by high-volume resistance, the probability increases that it will move back toward the range lows.
Downside Risk Toward $1.74 Support
As long as XRP remains below the Point of Control, downside risk remains elevated, and a rotation toward $1.74 support becomes increasingly probable. This would represent a structural retest of the same demand zone that initiated the rally.
That retest is critical. If $1.74 holds again, XRP may continue trading range-bound between support and the POC resistance zone. If $1.74 fails, the market structure would weaken further and open the door for a deeper corrective move.
At present, XRP remains within a range, but the rejection at the POC shifts the short-term bias toward caution.
What to Expect in the Coming Price Action
In the near term, XRP’s price direction depends on whether it can reclaim the Point of Control or continue holding above the value area low. A sustained failure to reclaim the POC increases the likelihood of a rotation lower toward $1.74, where demand must hold to maintain the range.