XRP is now trading sideways following a rally of 7% earlier in the week. The consolidation comes as the bullish momentum initiated by the ceasefire between Iran and Israel subsides. Since peaking on June 23, the price of the token has fluctuated within a small margin expressing uncertainty amongst traders. 

However, while there is no short-term momentum, long-term holders (LTHs) are taking advantage of the pause. Recent data shows that there has been a slight increase in accumulation by long-term holders. This indicates that most of these holders may be using the silence to establish positions in readiness for a potential breakout. 

XRP Faces Range-Bound Price Action

Since hitting a key resistance on Monday, Ripple-backed XRP is stuck in a make or break moment. Particularly, data by TradingView shows that the coin has been moving between $2.15 and $2.20. Ranked at position 5 in terms of market capitalization, a movement outside has the potential to chart the coin’s momentum moving forward. 

But, on a technical point of view, XRP is currently in a sticky position with downward pressure more likely. For instance, Ripple’s Relative Strength Index (RSI), one of the major tools to measure momentum, is dropping. 

As at press time, the RSI is at 47.51 after remaining in a straight line for the last two days. This drop towards the median at 44.63 proves that bears are mounting pressure on the bulls. 

On top of this, XRP is still stuck in a descending channel that started to form in early May 2025. While there has been numerous attempts to break the upper boundary, the latest surge was short lived. XRP may thus return to its recent lows unless there is considerable buying pressure to boost prices higher. 

On a mid-term basis, the lower boundary of the descending channel at $1.90 level, serves as strong support. However, a breach of this level would open the door for an XRP market crash. 

Ripple’s Long Terms Holders Show Signs of Accumulation 

Although the general trend appears bearish, on-chain data paints a different picture. For instance, the Liveliness metric, which measures the movement of dormant coins, fell to the lowest level in the year-to-date at 0.808. This is an indication that long-term holders are moving fewer tokens. Most are migrating their holdings off exchanges into their self-custody wallets, thus less selling is taking place. 

Historically, a drop in Liveliness is a sign of an ongoing accumulation phase. The phase can be followed by rising prices, particularly once the broader market shows preference towards risk assets. In the case of Ripple, if the accumulation phase is followed by a rise in buying volume, XRP may break out from the current trend. 

Key XRP Price Levels to Watch as Q3 Approaches

If bulls reignite new momentum, XRP has to deal with the resistance level at $2.24. A breakout over this level could uphold the opportunity of an upward price movement towards $2.33 or even stretch gains into Q3. Any effective XRP breakout would also be an indication of an overall sentiment change, potentially bringing in new buyers that have previously been on the sidelines. 

Nevertheless, a fresh bout of profit-making may soon take XRP back to the support around $2.06. Failure to hold above this level may trigger further losses down to $1.99. The coming sessions will be crucial in determining whether XRP remains stuck in its current range or kicks off a new upward trend.