Ripple (XRP) Falls for 4 Consecutive Days, Will it Break Below $1.00? Is There a Rebound Card?

▲ Ripple (XRP) ©Go Dasol

XRP (Ripple) has continued its downtrend for four consecutive days, threatening the key support level of $1.00, while an on-chain multi-signature upgrade has been proposed to expand the network ecosystem, drawing attention to its future price direction.

According to investment media FXStreet on August 6 (local time), XRP is trading below $1.05, facing bearish pressure amid a general cryptocurrency market slump, despite the potential for easing geopolitical tensions in the Middle East. In this context of continued price decline, RippleX developers have proposed an on-chain multi-signature (On-Chain Cosigner) upgrade aimed at institutions and custody providers. While previous multi-signature methods could lead to errors or overhead during offline coordination, the new proposal is expected to significantly improve transaction approval processes for institutional and treasury teams by directly handling signature collection and verification on the ledger.

Despite efforts to improve network performance, investor sentiment is rapidly shrinking. According to financial data platform SoSoValue, a total of $35.8 million was net-withdrawn from XRP spot Exchange Traded Funds (ETFs) on Wednesday. This indicates a decrease in market interest in remittance-focused assets and, coupled with the price decline, acts as a major factor in dampening investors' buying sentiment.

Technical indicators also point to further downside potential. Currently, XRP remains below its key Exponential Moving Averages (EMAs), encountering strong resistance. Above, the 50-day EMA at $1.11, the 100-day EMA at $1.20, and the 200-day EMA at $1.39 form layered resistance walls, while the price is forming below the Bollinger Band midline of $1.088, indicating limited upward movement.

Trend momentum indicators also show horizontal to bearish movement. The Relative Strength Index (RSI) remains near the oversold territory at around 39, and the Moving Average Convergence Divergence (MACD) is also in the negative zone, indicating sustained downward pressure.

The short-term support level is formed at the lower Bollinger Band, around $1.04. If this support breaks, a further deep correction to the $1.00 level could occur. If it holds, XRP is expected to attempt to retest the $1.08-$1.11 resistance zone.

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