Key Insights:
- XRP is struggling to keep pace with high-demand AI tokens and speculative meme coins.
- Reduced whale engagement and slow address growth indicate limited new demand for XRP.
- XRP’s price is confined to a narrow range, with a breakout contingent on broader market shifts.
XRP’s price has remained around the $2.40 mark, showing signs of short-term stability. However, the broader cryptocurrency market is witnessing a shift in trader attention toward high-beta assets, with AI tokens and meme coins capturing stronger momentum. This trend leaves XRP lagging, despite its solid position as a large-cap altcoin. XRP’s price has struggled to break out of its range-bound structure, and this may continue unless the rotation in liquidity reverses.
Despite holding steady at $2.40, XRP is underperforming relative to other sectors within the cryptocurrency space. AI-linked tokens, in particular, have garnered significant demand in 2025, with analysts reporting returns four times greater than those of traditional altcoins. The shift toward these high-demand assets has led traders to pursue faster-moving opportunities, creating a volatile market that bypasses more stable altcoins like XRP.
Reduced Whale Activity and Limited Demand
On-chain data for XRP indicates a drop in whale activity and a slower pace of address expansion. These signs suggest that new demand for XRP is not accelerating, further contributing to its lackluster performance. Additionally, speculative meme currencies continue to thrive, attracting short-term attention due to their volatility. Consequently, XRP is increasingly sidelined, as capital flows toward assets with higher potential for intraday gains.
While institutional interest in large-cap altcoins like XRP remains an important factor, the growing dominance of Bitcoin and speculative flows into AI and meme tokens put downward pressure on XRP’s liquidity. A breakout above the $2.50 resistance level could offer XRP a path toward $2.60 or higher, but without a reversal in the broader market dynamics, it is unlikely that such a breakout will occur soon. The absence of significant whale support or institutional inflows increases the downside risks for XRP.
Support Levels and Potential Price Movements
The $2.35 to $2.38 range serves as an essential support level for XRP. If this support holds, XRP could stabilize and move toward higher levels. However, any breach of this support would likely trigger a price drop toward $2.20, with further declines potentially reaching the $2.05 to $2.10 zone. XRP’s current price trajectory remains dependent on the broader market’s liquidity conditions and whether demand for AI or meme tokens recedes.
