XRP Breaks Below $1.05 Support as Liquidations Accelerate Decline

Support Break Accelerates on Liquidations

XRP fell approximately 5% to $1.05 on July 28 as forced long liquidations and a broader market risk-off move breached a double-top neckline and key support level, according to Crypto.news data. The sell-off extended the token's weekly decline and signaled intensifying selling pressure as leveraged positions unwind. Sellers are now targeting $0.98 as the next support zone, though the pace of decline has accelerated beyond earlier projections.

Derivatives Positioning Amplifies Volatility

Derivatives markets show open interest at $2.72 billion, reflecting significant leveraged positioning that could amplify moves in either direction as liquidations cascade. The forced unwinding of long positions suggests that stop-loss orders are triggering mechanically rather than reflecting fundamental reassessment. Exchange withdrawals remain at five-year highs, typically signaling accumulation or reduced selling intent, yet spot ETF flows have reversed course, pointing to weakened retail and institutional demand through that channel. These competing signals highlight how technical breakdown can override on-chain accumulation narratives in the near term.

Structural Headwinds Persist

With both $1.05 and $1.00 now broken, XRP faces deteriorating technicals and requires a decisive recovery above key resistance levels to arrest the corrective structure. Persistent capital outflows, weak daily momentum, and the mechanical nature of liquidation selling continue to favor downside, leaving limited near-term support until the token finds a new equilibrium.