XRP price tests the $2.96 support. Traders watch RSI signals and key levels as institutional interest rises. Will bulls hold the line?

XRP price is locked at a level that could shape its next move. Price has returned to $2.96, and traders are watching every tick. This zone marks a dividing line between a controlled pullback and a sharper reversal. 

Market sentiment is tense but not broken. What happens here could decide the pace of XRP’s trend.

Why $2.96 Matters for XRP Price

CasiTrades, a top market analyst, called $2.96 “the decision point.” The price aligns with the 0.382 Fibonacci retracement, a level with both local and macro relevance. It also reflects a support flip from a prior resistance. 

Holding it would keep the bullish structure intact. Losing it, however, could shift momentum and force traders to rethink their strategies.

🚨Critical XRP Retest at $2.96 – The Market Holds Its Breath! 🚨$XRP has returned to a crucial support level, now backtesting the $2.96 zone, which aligns with the .382 Fibonacci retracement. Not just locally, but also on the macro scale. This makes this a highly significant… pic.twitter.com/cqyEF4PR9F

— CasiTrades 🔥 (@CasiTrades) August 5, 2025

XRP Price Analysis: Resistance Above, Risk Below

If XRP holds firm, upside targets sit at $3.21 and $3.41. Both levels capped price advances before and remain the next major hurdles. Beyond them, $3.6 stands as a potential extension target. 

On the downside, a break under $2.96 exposes $2.76. A deeper slide could even reach $2.51, where a cluster of demand zones waits.

CasiTrades noted a potential bullish divergence forming on the RSI. The indicator hovers near 50 after bouncing from 38 earlier this week. That shift suggests improving momentum, but traders need confirmation. Volume remains the key factor that will decide if this bounce holds.

XRP Institutional Interest Grows

While traders focus on charts, adoption news keeps building. John Squire shared that South Korea’s BDACS, a regulated digital asset custodian, has added XRP support. This step signals growing institutional confidence and strengthens XRP’s position in global markets.

🚨 JUST IN: 🇰🇷 South Korea’s BDACS, a regulated institutional-grade digital asset custodian, will now offer custody support for $XRP. 🔐🪙

Institutional demand is growing and so is XRP’s global footprint. 🌍📈 pic.twitter.com/NpKSGRSHyV

— John Squire (@TheCryptoSquire) August 6, 2025

According to CoinGecko, XRP price is at $2.93, down 3.62% in 24 hours and 6.73% for the week. The $2.96 level remains the focal point for traders. A strong hold could spark a rebound toward $3.21. A failure, though, would push the token toward deeper supports.

For now, the market holds its breath. Traders are watching volume, RSI, and this critical price zone closely. What happens here could set XRP’s path for the weeks ahead.