How Low Will XRP Drop in This Year 2026?

XRP has experienced one of its sharpest price corrections in recent months, raising renewed questions about how low the token could fall in 2026. 

After a violent market wide sell off pushed prices to multi month lows, XRP quickly rebounded, fuelled by heavy inflows and rising network activity. 

While the recovery has eased immediate panic, broader conditions remain uncertain, leaving investors focused on downside risk and whether lower price levels could still be tested.

Key Takeaways

• XRP rebounded sharply after a deep market wide sell off, supported by strong inflows and whale accumulation.

• Despite the recovery, XRP remains in a broader bearish structure and has not reclaimed key trend indicators.

• In a bearish scenario, XRP could revisit lower levels near $0.7 if selling pressure resumes.

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Why Is XRP Dropping So Much?

The recent decline in XRP was driven primarily by a broader market sell off rather than a single XRP specific event. 

As risk appetite weakened across the crypto market, leveraged positions were aggressively unwound, leading to rapid price declines in major tokens. 

XRP was among the hardest hit during this phase, briefly falling to levels near $1.14 as forced liquidations cleared long positions.

During this downturn, selling pressure intensified as traders rushed to exit positions, creating a sharp and sudden drop. However, onchain data suggests that this phase resembled a classic washout rather than a structural breakdown. 

Whale activity surged during the decline, with more than 1,300 transactions above $100,000 recorded on the XRP Ledger, marking the highest level in several months.

Network participation also increased sharply. Active addresses spiked to over 78,000 in a short time window, signalling that both traders and long term participants were engaging with the network during the volatility. 

Historically, such spikes in activity often occur near short term price bottoms, as stronger hands accumulate while weaker positions are forced out.

It is important to note that the sell off was amplified by broader sentiment. As Bitcoin and other large cap assets declined, XRP followed the same trajectory. The absence of a negative XRP specific catalyst suggests that the drop was more mechanical than fundamental in nature.

Read also: XRP's 10% Spike: Regulatory Boom Unlocks Gains?

What Is Driving the XRP Price Rebound?

Following the sharp decline, XRP staged a rapid rebound as more than $11 billion flowed back into the token within a single day. 

Market capitalisation climbed from around $77.86 billion to approximately $89.14 billion, reflecting renewed buying interest as prices stabilised. XRP recovered to trade near the $1.46 area, posting double digit gains within 24 hours.

This rebound was supported by strong accumulation from large holders. Wallets holding between 100 million and 1 billion XRP accumulated over 230 million tokens during the downturn, indicating confidence among whales that prices had reached attractive levels. 

At the same time, new address activity jumped more than 50%, pointing to renewed engagement from market participants.

Derivatives data also revealed an imbalance that favoured a short term rebound. Retail traders remained heavily positioned for further downside, while larger accounts were net short during the drop. 

Once selling pressure eased, this positioning created conditions for a sharp snapback as prices reversed.

Despite the strength of the rebound, it appears to have been driven largely by relief buying and improving market sentiment rather than a shift in long term fundamentals. XRP has often shown an ability to amplify broader market recoveries, especially after periods of intense volatility.

Read also: XRP & XRPL in 2025: Institutional Momentum

How Low Could XRP Go in a Bearish Scenario?

While the rebound has reduced immediate downside risk, XRP remains technically fragile. The token is still trading well below key moving averages, with the 50 day simple moving average near $1.92 and the 200 day average around $2.42. These levels highlight that XRP remains in a broader bearish trend despite recent gains.

If market conditions deteriorate again, XRP could retest lower support zones. In a clearly bearish scenario, a move toward the $0.7 area cannot be ruled out. 

This level represents a deeper retracement that would likely occur only if broader market weakness resumes and confidence deteriorates further.

Momentum indicators currently suggest caution rather than strength. The relative strength index has recovered from oversold levels but remains below neutral, indicating that buying pressure has eased without turning decisively bullish. 

A failure to hold above the mid $1.40 range could expose XRP to renewed selling, potentially opening the door to a deeper correction.

On the upside, XRP would need to reclaim higher resistance areas to confirm a sustained recovery. Without such confirmation, price action remains vulnerable to volatility and sentiment shifts.

Read also: XRP Transparency: Ripple's XRPL Hub

How to Trade XRP on Bitrue

Bitrue offers a straightforward way to trade XRP during periods of heightened volatility. By providing spot trading access and clear order execution, Bitrue allows users to manage positions without relying on complex onchain interactions.

To trade XRP on Bitrue, follow these steps.

1. Create an account on Bitrue and complete verification.

2. Deposit USDT or other supported assets into your Bitrue wallet.

3. Search for the XRP trading pair in the spot market.

4. Choose a market or limit order based on your trading approach.

5. Monitor your position and adjust risk management as needed.

Using Bitrue can help traders respond more efficiently to fast moving markets, especially when assets like XRP experience sharp price swings.

Conclusion

XRP’s recent price action highlights the impact of market wide volatility on even the largest digital assets. 

While the token rebounded strongly after a deep sell off, its broader structure remains fragile, and downside risks cannot be ignored. In a bearish environment, XRP could still revisit lower levels, with $0.7 acting as a potential extreme downside scenario. 

At the same time, strong inflows, whale accumulation, and rising network activity suggest that buyers are willing to defend key areas. 

For traders navigating these conditions, platforms like Bitrue offer a more accessible and controlled way to trade XRP while managing exposure in uncertain markets.

FAQ

Why did XRP drop so sharply in 2026?

XRP fell due to a market wide sell off that triggered forced liquidations and reduced risk appetite across the crypto market.

Is the XRP rebound a sign of a trend reversal?

The rebound reflects relief buying and accumulation, but XRP remains below key indicators that would confirm a long term reversal.

How low could XRP go if the market turns bearish?

In a bearish scenario, XRP could potentially revisit levels near $0.7.

What signals supported the recent XRP rebound?

Strong inflows, whale accumulation, rising active addresses, and derivatives positioning supported the short term recovery.

Where can XRP be traded easily?

XRP can be traded through supported platforms such as Bitrue.

Disclaimer: The views expressed belong exclusively to the author and do not reflect the views of this platform. This platform and its affiliates disclaim any responsibility for the accuracy or suitability of the information provided. It is for informational purposes only and not intended as financial or investment advice.