There is a view that XRP could, in the short term, be pushed down to around $1.

On Oct. 26 (local time), blockchain media outlet Decrypt reported that analyst 360Trader said XRP could drop toward a liquidity zone below its current trading range. He saw $1 as the next downside target if $1.248 breaks.

The key is whether support at $1.248 holds. In a recent post on X, formerly Twitter, 360Trader pointed out that a move toward $1 could open up if XRP falls below that level. He said he sees the area near $1 as a buying opportunity, adding, "See you near $1. I will buy heavily then."

A daily chart he presented shows a large fair value gap in the $1.00 to $1.25 range. The zone was presented as an area where the price could be pulled back if XRP weakness continues. Earlier, after XRP lost its 50-day moving average, 360Trader pointed to around $1.28 as a key level. He also warned then of the possibility of further declines, saying there was a liquidity zone below the current price.

Above the current price, there is another fair value gap in the $1.40 to $1.48 range. He judged that XRP must first reclaim this zone to improve its short-term technical trend. Volume distribution also shows a resistance band where trading is concentrated at $1.35 to $1.55, meaning that even if there is a rebound, XRP would need to break through this range to ease selling pressure.

The market is also seeing a view that there could be another correction before the next big rise. Vandell Aljarrah (반델 알자라), co-founder of Black Swan Capitalist, saw that in the long term, expanding global liquidity could lift demand for risk assets and raise XRP's value further. He said, however, that there could be another drop before the next full-fledged rise.

Aljarrah mentioned that on a weekly basis XRP is trading below the 50-week exponential moving average of $1.56 and the 200-week exponential moving average of $1.37. He saw this trend as increasing the risk of further declines. He also forecast that if liquidity rises sharply in the next phase of the global debt cycle, it could support a cryptocurrency bull market.

He also referenced past moves. Aljarrah pointed out that XRP showed a long box-range pattern before its 2017 to 2018 rise, arguing that a long sideways move can come before a large price jump.

Still, looking only at the short-term trend, a new uptrend has not yet been confirmed. XRP remains in a correction phase, and whether it can defend $1.248 and reclaim the $1.35 to $1.55 resistance band are emerging as key variables that will determine the next direction.