# Ripple Price Analysis: Can XRP Recover After the Hack-Driven Sell-Off? XRP tests critical Fibonacci support levels as short-term market structure remains under bearish pressure. - **Source:** [CryptoPotato](https://brifing.si/source/bd22636b-ec8d-42a8-8cca-1937c50e0f6c) - **Published:** 2026-10-31 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/4f74c750-995a-49c2-97ac-2dffd1e1915e ## Current Market Positioning XRP is currently trading near the $1.25 support level after failing to break the upper boundary of its short-term descending channel. This price action follows a significant rally from the $0.99 August low to the $1.70 peak. The asset is now struggling to maintain its momentum amidst persistent downward pressure from sellers. ## Fibonacci Support Levels The $1.25 zone is critical as it aligns with the 0.618 Fibonacci retracement level and a previous demand zone from mid-September. Earlier this month, the asset lost the 0.5 Fibonacci level at $1.34, signaling a shift in momentum. Traders are closely monitoring this area to determine if the August recovery remains intact. ## Demand Zone Defense Yesterday, the price briefly dipped to approximately $1.20, tagging the 0.702 Fibonacci level before buyers initiated a modest recovery. Although the long lower wick indicates active demand, the daily close has not yet confirmed a successful defense. Maintaining this level is essential to prevent a deeper retracement toward lower support zones. ## Four-Hour Channel Structure On the 4-hour timeframe, XRP has been trapped within a descending channel since its late-September peak near $1.65. The latest rally attempt was rejected at the $1.33 upper boundary, reinforcing the sequence of lower highs and lower lows. This structural pattern currently favors sellers, making any bullish reversal increasingly difficult to achieve. ## Critical Resistance Hurdles To shift the current bearish structure, XRP must reclaim the $1.34 Fibonacci level and the $1.40 supply zone. The asset recently faced rejection at these points, turning them into significant overhead resistance. A recovery back above $1.28 is the first step required to challenge the upper channel boundary near $1.30. ## Downside Risk Scenarios A decisive daily close below the $1.20 support level would expose the $1.10 to $1.14 demand zone. This area overlaps with the 0.786 Fibonacci retracement and represents the market’s final line of defense. If this support fails, XRP risks erasing all gains accumulated since the August rally began, signaling further bearish continuation. ## Short-Term Technical Outlook The current technical setup remains dominated by selling pressure as the asset hovers near the lower edge of the $1.25 demand zone. Buyers are currently attempting to reclaim this area rather than defending it from above. Failure to stabilize here could quickly turn this former support into a new resistance level. ## Strategic Market Implications The path to recovery requires a clear break above the descending channel and a sustained move past the $1.40 supply zone. Until these levels are reclaimed, the market structure remains fragile. Investors should prioritize the $1.20 low as the primary indicator for potential long-term trend shifts in the coming trading sessions. ## Sources covering this story - https://cryptopotato.com/ripple-price-analysis-can-xrp-recover-after-the-hack-driven-sell-off/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._