- XRP faces a critical $1 support test after falling 16% in a week.
- A break below $0.98 could expose it to further losses.
XRP is approaching a critical price level after losing 16% of its value over the past seven days. The decline has pushed the cryptocurrency closer to the psychological $1 support level, raising concerns that further losses could follow if buyers fail to defend it.
The sell-off has weakened XRP’s technical outlook, with $0.98 emerging as the next important support level. A decisive break below this area could expose the token to a much deeper correction, potentially bringing prices back to levels last seen before Donald Trump’s November 2024 election victory.
XRP Falls 16% as Inflation Concerns Weigh on Crypto Markets
XRP’s latest decline comes amid growing uncertainty over the US economic outlook. It has lost 16% in seven days, making it one of the weakest performers among the top 10 digital assets.
Rising inflation has increased expectations that the Federal Reserve could maintain tighter monetary conditions or consider another interest rate increase at its December meeting.
October’s core Consumer Price Index (CPI) rose 0.3% month over month, exceeding economists’ expectations by 0.1 percentage points. The higher-than-expected reading raised concerns that inflation remains persistent, potentially limiting the Fed’s ability to ease monetary policy.
Federal Reserve Governor Christopher Waller also indicated support for stronger policy measures if inflation continues to accelerate.
Higher interest rates generally put pressure on cryptocurrencies because they increase borrowing costs and make traditional investments more attractive. This can reduce demand for riskier assets such as XRP and Bitcoin.
Geopolitical tensions have added to the uncertainty. Comments from President Donald Trump about Iran raised concerns over the possibility of further instability in the Middle East, sending oil prices higher.
Rising energy costs could add to inflationary pressure by increasing transportation and production expenses. This creates another challenge for policymakers as they attempt to bring inflation under control.
The weakness has spread across financial markets. Bitcoin briefly dropped below $68,000, while XRP lost another 4% over the latest 24-hour period.
Market sentiment has also deteriorated sharply. The Crypto Fear and Greed Index fell to 19, placing the market in the Extreme Fear category. This represents a significant reversal from the Extreme Greed readings recorded roughly two and a half months earlier.
XRP Ledger Lending Proposal Gains Support Despite Price Decline
Despite XRP’s weak market performance, the XRP Ledger ecosystem has recorded a positive development.
XRP Ledger is getting a native lending protocol. No wrapped assets. No external smart contract layer. Lending built directly into the ledger. This could be one of the most significant upgrades in XRPL history.
A thread. 🧵🧵
— 𝗕𝗮𝗻𝗸XRP (@BankXRP) November 12, 2026
A proposed native lending protocol submitted in October has surpassed the 60% validator support threshold, bringing the initiative closer to possible activation.
The proposal would allow lenders to deposit XRP or other supported tokens into a vault. A broker would then use the deposited funds to issue fixed-term loans to borrowers without requiring collateral.
If implemented, the protocol could expand the XRP Ledger’s financial applications by introducing native borrowing and lending services.
However, the proposal still needs additional validator support before it can become active. Under the network’s rules, an amendment must receive approval from at least 29 of the 35 validators on the default list for two consecutive weeks.
The development highlights continued efforts to expand the XRP Ledger’s capabilities, even as XRP faces growing selling pressure in the broader cryptocurrency market.
XRP Price Prediction: Will $0.98 Support Hold?
XRP’s technical outlook has weakened following its 16% weekly decline. It is approaching the $1 psychological support level while moving into the remaining unfilled portion of a bullish fair value gap formed in August.
The $1 mark is an important level for traders because it has attracted considerable market attention. Holding above it could help prevent further losses and create room for a short-term recovery.
However, a temporary rebound would not necessarily signal the end of the broader downtrend. XRP would need stronger buying pressure and a move above key resistance levels to confirm a meaningful recovery.
Bearish scenario: A sustained break below $1 could expose XRP to the next support around $0.98. If sellers push the price below this level, the cryptocurrency could face a deeper correction toward the $0.50-$0.60 range in the coming months. Such a decline would take XRP back toward levels last seen before the November 2024 US presidential election.
Bullish scenario: If buyers defend the current support region, XRP could attempt a recovery toward its first major resistance at $1.1150. A daily candle close above this level could strengthen the recovery and open the way toward $1.31.
For now, the $0.98 support level remains an important price area to watch. Whether buyers can defend this region or sellers force another breakdown could determine XRP’s direction in the coming weeks.
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