XRP Exchange Outflows Ease, Eyeing Key Resistance

XRP Exchange Outflows Ease in June Amid Bullish Signs; Key Resistance and Liquidity Zones Analyzed

XRP Shows Signs of Strength as Capital Outflows Ease in June

XRP, the popular cryptocurrency known for its fast transaction capabilities and Ripple-backed network, has witnessed a subtle yet meaningful shift in capital movements on June 5th. Following a period of heavier capital outflows from exchanges throughout May, recent data shows these outflows have moderated, indicating a potential accumulation phase by investors. This development could set the stage for renewed price momentum, making XRP an asset to watch in the near term.

Capital Outflows Signal Accumulation

Capital outflows from cryptocurrency exchanges often indicate investors withdrawing tokens into private wallets, typically reflecting long-term holding behavior or accumulation. XRP’s capital outflows on June 5th showed a slowdown compared to May, but still suggested sustained buying interest.

According to a recent report by KriptoNovini.bg, XRP’s Network Value to Transactions (NVT) ratio has declined recently, compared to previous sessions. The NVT ratio, a key on-chain metric, measures the network’s value relative to its transaction volume and is often used to gauge whether an asset is undervalued or overvalued.

A lower NVT ratio suggests the token is potentially undervalued relative to its utility.
This could mean XRP’s transaction activity has spiked while its market capitalization hasn’t fully reflected this increased use.

This dynamic underpins the hypothesis that XRP is currently in an accumulation phase, where investors recognize value in its underlying network activity and utility despite sideways price action.

Price Action Remains Range-Bound Despite Buyer Dominance

While on-chain data points to strong spot buying dominance over the past three months — as shown by the cumulative volume delta (CVD) — XRP’s price has remained largely confined within a well-defined range. This consolidation phase indicates a tug-of-war between buyers and sellers, creating a battleground that could precede a breakout or breakdown.

The supply zone around $2.3 continues to act as formidable resistance.
XRP’s price has struggled to sustain moves above this critical level despite repeated attempts.

Technical Analysis: XRP Faces Key Resistance Levels

Examining XRP’s 1-day chart provides deeper insights into the current technical landscape:

Mid-range resistance at $2.28 corresponds closely with the 38.2% Fibonacci retracement level, drawn from XRP’s significant 2025 price drop from $3.40 to $1.61.
This Fibonacci level often serves as a natural barrier where profit-taking or selling pressure intensifies.
The Relative Strength Index (RSI) has hovered just below or near the neutral 50 mark for several weeks, signaling a lack of strong momentum in either direction.
At the time of writing, the RSI sits at 50.8, marginally above the neutral line, which could indicate the early stages of bullish momentum shifting in favor of buyers.

However, despite this slightly positive RSI signal, XRP’s price swing structure remains bearish, largely due to rejection from a higher resistance zone around $2.6.

On-Balance Volume (OBV) Confirms Buyer Interest with Caution

The On-Balance Volume (OBV) indicator, which tracks buying and selling pressure based on volume flow, has remained range-bound since April. This range-bound behavior suggests a market in equilibrium but with some important nuances:

OBV failed to create new highs above March levels, reflecting a lack of decisive buying strength.
Conversely, it established a series of higher lows over the past two months, hinting at building accumulation and underlying buyer interest.

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This pattern in OBV is encouraging, as it suggests cautious accumulation that could fuel an eventual breakout if buying pressure intensifies.

XRP Liquidation Heatmap Highlights Critical Liquidity Zone

Further supporting the technical picture is XRP’s 2-week liquidation heatmap, sourced from Coinglass, which reveals key liquidity clusters:

A significant pool of liquidity has formed between $2.29 and $2.36.
This area is crucial because it coincides closely with the current market price, implying that XRP is poised to test these levels imminently.

A move up to $2.36 is therefore plausible in the near term, but traders should watch for signs of a potential bearish reversal in this zone.

If XRP fails to break decisively above this liquidity cluster, a reversal between $2.35 and $2.40 could trigger significant stop-loss liquidations.
Such a reversal would have a pronounced impact on traders who positioned themselves for a breakout, potentially leading to a sharp retracement.

What’s Next for XRP?

Given the current data and technical indicators, several key points emerge for XRP investors and traders:

Accumulation Continues: Capital outflows and on-chain metrics suggest that smart money and long-term holders are accumulating XRP at current price levels.
Watch Key Resistance: The $2.28 to $2.36 range serves as a critical battleground. A sustained breakout above this zone could open the door to renewed bullish momentum toward $2.60 and beyond.
RSI and OBV Are Early Bullish Signals: Both indicators suggest momentum may be shifting from bearish to bullish, but confirmation is needed via price action breaking above resistance.
Liquidity Clusters Could Trigger Volatility: The dense liquidity in the $2.29-$2.36 range may provoke increased volatility, with potential for both sharp upward moves or bearish reversals.
Range-Bound Consolidation May Persist: Until XRP decisively breaks out or down from the current range, expect sideways price action that tests buyer and seller resolve.

Additional Factors Influencing XRP’s Outlook

Beyond technicals, several broader factors could shape XRP’s trajectory:

Regulatory Developments: Ongoing legal battles and regulatory clarity around Ripple Labs and XRP continue to influence investor sentiment. Positive news on this front could act as a catalyst for price appreciation.
Network Adoption and Partnerships: Ripple’s expanding network partnerships with financial institutions globally reinforce XRP’s utility as a bridge currency, potentially driving higher transaction volumes.
Overall Crypto Market Sentiment: XRP’s price remains correlated to broader market trends. Bullish momentum in Bitcoin and Ethereum could spill over to altcoins like XRP, boosting buying pressure.

Conclusion

XRP is currently navigating a complex technical and fundamental landscape. While capital outflows from exchanges have eased, signaling accumulation, price action remains trapped in a key range. Technical indicators such as RSI, OBV, and Fibonacci retracement levels highlight crucial resistance zones that must be overcome for a sustained rally.

The cluster of liquidity between $2.29 and $2.36 represents a pivotal battleground where future price direction will be determined. Traders and investors should remain vigilant for a breakout or reversal from this zone.

Overall, the current dynamics suggest that XRP could be undervalued relative to its network activity and utility, providing a compelling case for accumulation—particularly if broader market and regulatory conditions improve.