XRP price is showing early signs of stabilization after weeks of heavy selling.
- XRP shows early signs of stabilization as derivatives volume and open interest rise together
- Binance taker buy pressure nears a bullish threshold, easing December selling pressure
- Technicals point to improving momentum, though confirmation of reversal is still pending
XRP was trading at $2.13 at press time, up 3% over the past 24 hours. The token has hovered between $1.83 and $2.16 over the past week and is now up 4.2% over the past month, suggesting a gradual shift away from the heavy selling seen in December.
Alongside the move, trading activity increased. As the price moved closer to the upper end of its recent range, XRP’s 24-hour spot volume increased to $3.29 billion, a 25.5% increase from the previous day.
Data from CoinGlass shows that XRP (XRP) derivatives volume climbed 43% to $5.93 billion, while open interest rose 4% to $3.86 billion. Instead of traders reducing their exposure, this mix suggests that new positions are entering the market.
Growing open interest combined with rising volume often indicates a stronger belief in the current direction of the price.
Taker buy pressure approaches a key inflection level
Additional insight comes from a Jan. 6 analysis by CryptoQuant contributor CryptoOnchain, which highlights a notable change in XRP’s taker behavior on Binance. The Taker Buy Sell Ratio, measured using its seven-day simple moving average, has climbed to 0.991, its highest reading since late November.
This metric compares aggressive market buys against aggressive market sells.
A rising ratio close to 1.0 shows that buyers are becoming more willing to execute at market prices while selling pressure is lessening. The move closely corresponds with XRP’s recent price recovery and comes after a clearly bearish phase in mid-December.
If the ratio continues to rise above 1.0, it would indicate that buy-side aggression has surpassed selling pressure, which often encourages short-term upside. Until then, the data suggests that sentiment is improving but does not provide conclusive evidence of a trend reversal.
XRP price technical analysis
On the daily chart, XRP remains in a broader downtrend marked by lower highs and lower lows. However, price action has improved after forming a base in the $1.75 to $1.85 zone. The recent advance appears more like a relief rally or early transition phase than a completed reversal.
XRP has pushed above the upper Bollinger Band near $2.08, a sign of strong short-term momentum but also potential near-term exhaustion. Before the move, the Bollinger Bands had compressed, and their expansion now indicates increased volatility.
Price is also holding above the Bollinger midline around $1.90, a level that has become critical for maintaining bullish structure.
Momentum indicators support the move. Without yet entering overbought territory, the relative strength index has risen to about 65, breaking above the neutral 50 level. This indicates that momentum is favorable, but short-term declines are still possible.
If XRP holds above $1.95, the path opens toward $2.25 and potentially $2.50, where prior breakdown levels sit. A daily close back below $1.90 would weaken the bullish case and raise the risk of a return toward $1.75, keeping the wider downtrend intact.
