XRP Consolidates Above $2 As Volume Z-Score Signals A Quiet Market

Source Newsbtc

XRP is attempting to stabilize above the $2 level after enduring several days of sustained selling pressure, as the broader market searches for direction. While price action has cooled from recent highs, the latest data suggests that activity around XRP remains balanced rather than distressed. According to metrics shared by Arab Chain via CryptoQuant, trading behavior shows no signs of panic or speculative excess despite the recent pullback.

Data sourced from Binance indicates that XRP’s 30-day Z-Score for trading volume is currently around 0.44. This reading places current volume slightly above its 30-day average, but still well within a historically normal range. Importantly, Z-Score values above +2 are typically associated with aggressive inflows and speculative surges, while deeply negative readings tend to signal market apathy or liquidity drying up. XRP’s current position in the positive-neutral zone suggests neither scenario is playing out.

This context matters. Rather than reflecting capitulation or renewed hype, the data points to a market that is digesting prior moves. As XRP holds above $2, the absence of abnormal volume spikes implies that recent selling pressure may be easing, setting the stage for consolidation or a more deliberate next move once conviction returns.

XRP Volume Z-Score Signals Market Equilibrium

The report explains that this behavior suggests XRP’s recent price action was not fueled by a speculative frenzy, but instead reflected relatively balanced trading between buyers and sellers. Despite XRP managing to hold above the $2 level, the absence of an elevated volume Z-Score indicates that the market is not experiencing excessive excitement. Rather, conditions point to a phase of consolidation or potential accumulation following the volatility seen in previous weeks.

Binance XRP Volume Z-Score | Source: CryptoQuant

This type of Z-Score reading commonly appears during periods of anticipation, when participants wait for a clearer directional catalyst. In such environments, price can remain range-bound as liquidity stays stable and neither side gains decisive control.

If XRP’s price begins to move higher while the Z-Score rises above the 1.5–2.0 range, it would suggest fresh capital entering the market and could mark the beginning of a stronger, momentum-driven advance. That combination would provide clearer confirmation of renewed demand.

On the other hand, if trading volume contracts further and the Z-Score remains near zero or slips into negative territory, it would imply fading interest. Under those conditions, XRP could face renewed downside pressure or extend its sideways consolidation as liquidity thins.

The current Z-Score does not deliver a clear buy or sell signal. Instead, the data highlights a stable market environment. Any meaningful move now requires volume confirmation to establish its robustness.

XRP Price Struggles to Reclaim Key Moving Averages

XRP is currently trading near the $2.05 level after a prolonged period of selling pressure, as shown on the daily chart. The recent rebound from sub-$1.90 levels suggests that buyers are attempting to defend the psychological $2.00 zone, which has acted as an important pivot throughout this cycle. However, price action remains structurally weak, with XRP still trading below its major moving averages.

XRP daily consolidation | Source: XRPUSDT chart on TradingView

The chart shows XRP firmly below the 200-day moving average (red line) near the $2.55–$2.60 area, a level that now represents a critical medium-term resistance. The 100-day and 50-day moving averages (green and blue lines) are also sloping downward, reinforcing the bearish trend that began after the failed breakout above $3.50 in late 2025. Each attempt to recover has been capped by these dynamic resistance levels, signaling persistent distribution rather than aggressive accumulation.

From a market structure perspective, XRP continues to print lower highs and lower lows, despite the short-term bounce. Volume has remained relatively muted during the recent recovery, suggesting limited conviction behind the move. This supports the idea that the rebound is corrective rather than the start of a new impulsive trend.

For bullish momentum to regain credibility, XRP must reclaim and hold above the $2.30–$2.40 region, followed by a break above the 200-day moving average. Until then, the prevailing structure favors consolidation or further downside risk.

Featured image from ChatGPT, chart from TradingView.com 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
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