XRP Price Prediction: Strong Bounce Off Key $1 Support Could Trigger XRP’s Next Big Move

Published: August 19, 2026

Author: Alejandro Arrieche

Key Highlights

• Short liquidations have surged to levels not seen since the October 10 flash crash, following the SEC's proposed new rules for cryptocurrencies in the U.S.
• The current short squeeze could initiate a significant rally for altcoins, particularly XRP.
• XRP must surpass the $1.15 mark and clear the 200-day exponential moving average (EMA) to fully reverse its downtrend.

Market Overview

XRP has experienced a price increase of over 6% in the last 24 hours, attributed to the SEC's new regulations affecting the crypto market. The altcoin successfully maintained its position above the critical $1 support level, which is essential to avoid a deeper correction.

Liquidation Data

In the past 12 hours, total liquidations reached $1.70 billion, with Bitcoin contributing $1 billion as it broke past the $66,000 resistance. Ethereum also crossed the $2,000 threshold, signaling the potential start of a bull market.

Ripple's Funding Round

Ripple has secured $275 million to bolster its prime brokerage business, Ripple Prime. The head of this unit, Noel Kimmel, emphasized the strong support received for their inaugural notes offering, reflecting confidence in their long-term vision for integrating traditional and digital asset financial infrastructures.

Trading Volume and Market Sentiment

Despite the significant price movement, XRP's trading volume remains relatively low at $1.7 billion, representing only 2.5% of its circulating market cap. However, $6 million worth of XRP shorts were liquidated in the last 12 hours, marking the highest single-day wipeout in six months, indicating a potential shift in market sentiment.

Technical Analysis

The recent price jump has invalidated a bearish descending triangle formation. A bounce off the $1 mark presents a favorable trading opportunity with a 5x risk-reward ratio. The immediate target for profit-taking is set at $1.15, while the mid-term target aligns with the 200-day EMA around $1.32.

The Relative Strength Index (RSI) has crossed above the signal line and the 50 level, suggesting a shift in momentum from bearish to bullish. A confirmation of this trend will require the RSI to surpass the 60 mark.

Conclusion

While XRP still faces challenges in breaking through its nearest resistance levels, the recent price action and market dynamics suggest a promising outlook for a potential rally, contingent on overcoming key technical barriers.