XRP is currently testing the important 3 USD support area. Technical and on-chain signals indicate that the market has adjusted healthily rather than falling into an overheated bubble state.
XRP has dropped nearly 7% from the most recent peak, creating uncertainty among traders and raising the question of whether this is a good accumulation opportunity or still poses short-term risks.
MAIN CONTENT
XRP adjusts near the support level of 3 USD with recovery signals from technical and on-chain indicators.
The profit-taking pressure at this stage is lower, NVT ratio and Open Interest indicate that the market is not overheated.
This could be an accumulation opportunity with a potential surge if XRP maintains the support area and the cash flow remains stable.
XRP is testing the 3 USD support area – What is happening?
The cryptocurrency market has just undergone a correction of about 1.78% after a strong rally, causing XRP to drop nearly 7% from the peak of 3.40 USD. The 3 USD support area is now a crucial boundary that will determine XRP's next trend.
When major cryptocurrencies enter a correction phase after a price increase, XRP's reaction draws attention from both traders and long-term investors. At this time, XRP is recalibrating demand as well as profit-taking pressure around the 3 USD mark, in a context where investor sentiment remains cautious.
"Strong support area tests often come with significant potential for a big rebound if cash flow returns at the right time."
John Bollinger, Founder of the Bollinger Bands indicator, interviewed on Forbes July 2025
Has XRP dropped nearly 7% after the 3.40 USD peak become too hot?
After reaching a peak of nearly 3.40 USD, XRP has adjusted down nearly 7%, leading investors to wonder whether this price level is too hot or just a normal market reset.
History shows that if XRP's price fluctuates in a strong accumulation area, each breakout above opens up opportunities for rapid growth but also carries the risk of a deep decline if the key support level is lost. The recent decline has not shown the chaotic retreat often seen in pump-and-dump cycles, but the speed of decline is relatively controlled.
What do Technical and On-chain indicators say about the strength of the 3 USD area?
Technical analyses and on-chain data indicate that the 3 USD level plays a crucial pivot role. If it holds, this will be the next rebound point; if it breaks, the 2.95 USD mark will be the 'last cushion'.
The price chart shows that after breaking above 3.60 USD in mid-July, XRP entered a state of forming three lower lows, reinforcing the support area around 3 USD. According to traders, if a technical rebound occurs here, the upward trend could return very quickly.
"The longer the price remains level in a strong support area, the stronger the momentum when breaking out."
TradingView technical report August 2025
What is the difference in profit-taking pressure at this stage?
Data from Glassnode shows that Realized Profit at the 3.30 USD mark has never exceeded 1 billion USD, while at the peak of 3.60 USD, profit-taking pressure exploded, causing a 23% drop within just two weeks. This proves that currently, the profit-taking pressure is 'gentler', creating conditions for a sustainable upward trend if recovery occurs.
Regarding on-chain data, Realized Profits reflect the strength of 'big players' taking profits; when prices rise but this pressure is moderate, it is a positive check for new accumulation opportunities. The current decline, along with low Realized Profit, indicates that long-term investors are still attracted to the current price level.
What is the significance of the NVT ratio regarding the heat of the XRP market?
The NVT (Network Value to Transactions) index set a record of 167 at the peak of 3.60 USD, indicating that the market at that time was quite 'hot'. However, currently, XRP's NVT is only at 117 – much lower – indicating that the market cap value has not been overly inflated by speculative cash flow.
Typically, when NVT spikes, there is a risk of a 'bubble'. However, the current NVT of 117 reflects that the market is in a controlled adjustment area, consistent with the scenario that the market is resetting rather than about to explode negatively.
"If NVT doesn't spike wildly, the market is usually healthier and has less risk of pump-and-dump in the short term."
Glassnode market analysis report on XRP, August 2025
What does Open Interest in the derivatives market indicate?
Open Interest (OI) on the derivatives market currently stands at 8.5 billion USD, not exceeding the 10 billion USD mark even though the market leans towards a 'risk-on' sentiment. This reflects that traders are cautious with high margins and avoiding sudden liquidation risks.
When OI rises too quickly, the risk of 'leverage squeeze' will be significant, easily leading to extreme volatility. Keeping OI at a reasonable level implies that the market is maintaining a healthy state, and investors can manage leverage risk instead of being overly excited.
"The derivatives market is healthy when OI increases moderately and cash flow is effectively hedging risks."
CoinGlass report, August 2025
Is this a golden opportunity to accumulate more XRP?
The optimal scenario is for XRP to hold above 3 USD and for on-chain indicators to remain flat or slightly increase, while profit-taking pressure remains low. In that case, both technical signals and market psychology confirm this area as a 'great buying opportunity' – an attractive profit/risk ratio in the short term.
On the contrary, if XRP breaks below 2.95 USD, the risk of dropping to a new price area will increase, forcing traders to manage short-term risks tightly.
What important price levels should XRP traders pay attention to?
The 3.30 USD level is the nearest resistance; if surpassed, it will open up a target of 3.60 USD – the nearest peak from July. Conversely, 3 USD is the survival threshold for the uptrend; if it drops below 2.95 USD, the likelihood of a deeper correction will significantly increase.
Monitoring these levels helps investors actively develop effective capital/stop loss management strategies when trading XRP.
Important price levels Role Trading significance 2.95 USD Last support Losing this level will lead to a strong downtrend 3.00 USD Main support Potential rebound area, accumulation 3.30 USD Nearest resistance Triggers the next upward movement if broken above 3.60 USD Peak of July Medium-term target
Useful advice for XRP traders & investors at this time?
With the current market context, the risk management perspective is significantly heightened. Setting a stop loss just below 3 USD, closely monitoring Realized Profit and NVT is a way to reduce risk. Acting flexibly and focusing on target price levels rather than chasing prices during 'FOMO' is a key factor in effectively accumulating XRP during a volatile period.
Based on a synthesis of technical analysis and on-chain data, those who patiently wait for strong support areas will have a significant advantage when cash flow returns. Investors need to remain alert to avoid falling into overly optimistic or pessimistic mindsets when the market shakes.
Is XRP undergoing a healthy 'reset' rather than a risk of 'collapse'?
Clear evidence shows that the profit-taking pressure is low, NVT is cooling down, and Open Interest is well-controlled – all indicating that the market is resetting risks rather than facing the risk of widespread collapse. This aligns with the views of many industry experts about a new accumulation cycle for XRP.
Accumulation activity, trading, and smart money flow around the support area confirm that market sentiment has stabilized again; this is an important foundation for stronger recoveries in the short and medium term.
What events could change XRP's trend in the future?
In addition to technical signals and on-chain data, investors should pay attention to major news related to Ripple, progress on legal cases, or the appearance of large capital flows from institutional investors. Any events in these groups could cause significant price fluctuations in XRP in a short time.
In particular, news related to ETF funds, major financial partnerships, or technological improvements on the Blockchain are also factors that could trigger new waves for XRP, which investors need to closely anticipate in their trading strategies.
What distinguishes XRP from other Altcoins in this correction phase?
Compared to leading Altcoins, XRP shows better recovery signs as profit-taking pressure is not too large and on-chain trading volume is stable. This makes XRP a more attractive choice in the eyes of institutions and large investors looking for opportunities at reasonable price levels.
Altcoin 7-day decline NVT ratio current XRP -7% 117 ETH -9% 144 ADA -12% 135 SOL -10% 132
The table above reinforces the argument: The adjustment range of XRP is lower compared to some other Altcoins, while the NVT at a safer level indicates a higher recovery opportunity.
What strategies are suitable for both short-term traders and long-term investors?
For short-term traders, they should look for buying points around 3 USD, take partial profits at 3.30 USD, and set a stop loss below 2.95 USD. For long-term investors, gradually accumulating around the support area, being patient in managing the portfolio, and prioritizing monitoring on-chain data is the optimal strategy during the risk reset phase.
"Patience, risk management, and leveraging real data are the keys to long-term success when investing in highly volatile cryptocurrencies like XRP."
Benjamin Cowen, Founder of IntoTheCryptoverse, commented in July 2025
Thanks to this, investing in XRP will be safer rather than betting on temporary pump-and-dump cycles.
Which indicators should traders regularly monitor to identify good opportunities with XRP?
Traders need to closely monitor indicators such as NVT, Realized Profit, Open Interest, and Spot trading volume. Additionally, price volatility around historical support/resistance levels is also an important indicator to identify entry points and manage risk effectively during market fluctuations.
By combining reading multidimensional aggregated data, traders can easily be proactive in the face of unusual fluctuations and take advantage of attractive price levels to optimize profits while controlling risks.
Frequently Asked Questions
Is XRP currently experiencing strong profit-taking at the current price level?
No. Glassnode data shows that profit-taking pressure at the 3.30 USD level is lower than at the 3.60 USD peak, contributing to more stable prices.
What does the current NVT ratio of XRP signal?
An NVT ratio of 117 indicates that the market is not overly speculative, with higher recovery potential compared to periods of NVT spikes.
Does XRP have a chance to rebound if it holds at 3 USD?
Yes. If the price holds above 3 USD, combined with confirming technical indicators, the likelihood of a rebound is very high.
What should traders be cautious about when XRP falls below 3 USD?
If XRP breaks below 3 USD, it will open up risks to the 2.95 USD area or lower. Risk management through stop loss is the top priority.
What does the Open Interest index reflect about the heat of the XRP market?
Open Interest at 8.5 billion USD indicates that the market is still well-controlled in terms of leverage, with no signs of 'overleverage'.
What stands out about XRP compared to ETH or ADA in this correction?
XRP shows less decline and a safer NVT ratio, indicating better resistance to volatility compared to ETH or ADA.
When should we consider accumulating more XRP to optimize profit/risk?
You should accumulate around the strong support area of 3 USD when on-chain indicators are stable, combined with a tight stop loss just below this area.
Source: https://tintucbitcoin.com/xrp-chi-bao-quan-trong-hien-nay/
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