XRP Falls 6.3% As Liquidity Sweep Sparks Sell-Side Pressure Near $2.42

XRP’s 6.3% drop to $2.25 followed a clear buy-side liquidity sweep, triggering a strong sell-side shift.

Institutional activity appeared concentrated near the $2.42 resistance, marking the Order Block rejection zone.

Current price action shows sell-side liquidity collection near $2.24 support, signaling continued short-term pressure.

XRP’s price action reflected notable market pressure as the token extended its 24-hour decline by 6.3%, trading near $2.25. The session showed a clear liquidity manipulation pattern, suggesting active institutional participation around key levels. Price currently holds above the short-term support at $2.24, while the resistance stands at $2.42. This setup aligns with the broader Smart Money Concept (SMC) structure, where price seeks liquidity zones before establishing a new directional bias.

Buy-Side Sweep Triggers Reversal Zone

The chart displayed an evident buy-side liquidity sweep, reaching into the Fair Value Gap before reversing sharply. This move indicates that buy stops above previous highs were captured, allowing larger players to establish short positions

Once the liquidity grab completed, bearish momentum emerged, breaking through prior structure levels. Notably, the rejection from the Order Block (OB) zone near the $2.42 resistance highlighted a strong sell reaction, confirming the start of a lower-timeframe shift in market control.

Low-Resistance Liquidity and Downward Expansion

Following the liquidity sweep, XRP formed a low-resistance liquidity path, where minimal buyer interest allowed sellers to drive price efficiently. The breakdown through mid-range OB opens showed increased bearish order flow

As a result, price extended lower, creating a sequence of declining candles that aligned with sell-side liquidity collection beneath prior lows. This demonstrated how market makers efficiently removed remaining long positions to balance the order book before potential accumulation.

Market Context and Technical Boundaries

Despite the continued downside, XRP’s structure remains technically aligned within its liquidity framework. The asset’s 0.00002174 BTC valuation reflected a modest 3.2% shift relative to Bitcoin. The active sell-side liquidity phase suggests a possible area of rebalancing near current levels, though no confirmation of reversal has emerged yet. It is worth noting that the short-term trading range is still characterized by the level of resistance as well as support. In the meantime, traders are keenly evaluating the support of the $2.24 as a critical level to get an idea of whether the downside is to continue expanding, or stabilizing.