$280M Ripple Diamond Deal Fails To Stop Slide Toward $1.5

• XRP falls 1.24 percent to $1.59 despite Ripple securing custody infrastructure for a $280 million diamond tokenization project in the UAE.
• Open interest drops 3.93 percent to $2.77 billion as volume collapses 44.76 percent, signaling reduced trading activity after the recent crash.
• Recovery requires reclaiming $1.82, while a close below $1.50 opens downside toward the $1.20 demand zone.

XRP price today trades near $1.59 after failing to hold the bounce from last week’s $1.50 low. The decline continues despite Ripple announcing a major custody deal for a $280 million diamond tokenization project in Dubai, highlighting how macro headwinds are overwhelming token-specific fundamentals.

Ripple Diamond Tokenization Deal Adds Enterprise Utility

Ripple’s custody technology is now securing over $280 million in certified polished diamonds tokenized on the XRP Ledger in the UAE. Billiton Diamond and Ctrl Alt have moved more than AED 1 billion in diamond inventory on-chain, positioning the project as an institutional-grade tokenization pipeline.

Ripple provides the underlying custody and token infrastructure while the XRPL handles issuance and transfers. Dubai’s DMCC coordinated the deal as the emirate pushes to make real-world asset tokenization a core business line.

The project awaits approval from Dubai’s Virtual Assets Regulatory Authority for broader platform rollout and distribution. Key details including redemption mechanics, minimum lot sizes, and pricing formation remain unclear, raising questions about how tradable the tokens will be beyond the controlled pilot phase.

While the deal validates Ripple’s enterprise positioning, the market response shows that institutional partnerships alone cannot overcome the current risk-off environment.

Open Interest And Volume Collapse Signal Exhaustion

The derivatives market shows signs of exhaustion following last week’s liquidation cascade. Open interest dropped 3.93 percent to $2.77 billion, while volume collapsed 44.76 percent to $4.45 billion. Options volume fell 12.38 percent to $5.73 million.

The long/short ratio sits at 0.98, nearly balanced after the recent flush cleared leveraged longs. On Binance, top trader positioning shows a long/short ratio of 3.20 by accounts, indicating some traders are positioning for a recovery despite price weakness.

Over the past 24 hours, $4.08 million in positions were liquidated, with $2.48 million from longs and $1.61 million from shorts. The relatively balanced liquidation profile suggests the market has reached a temporary equilibrium after the violent moves of the past week.

Daily Chart Tests Critical $1.50 Demand Zone

On the daily chart, XRP trades below all four major EMAs within a clearly defined range structure. The 20 day EMA sits at $1.82, the 50 day at $1.94, the 100 day at $2.09, and the 200 day at $2.24. The entire EMA stack has now turned into overhead resistance.

Price is testing the $1.50 to $1.85 demand zone that has supported XRP since early 2025. The $1.50 level represents a critical horizontal support that aligns with the session low from February 1. A breakdown below this level would expose the $1.20 demand zone highlighted on the chart.

The $2.17 to $2.40 zone marks the first major resistance area above, while the $2.62 level represents the breakout point from November that would need to be reclaimed to shift the macro structure bullish.

Short Term Structure Shows Consolidation After Crash

On the 2-hour chart, XRP trades below the Supertrend indicator at $1.68, confirming the short-term bearish bias. Price has formed a consolidation range between $1.55 and $1.70 following the crash from $2.00.

The DMI shows strong bearish momentum with the ADX at 42.80, indicating the downtrend has conviction. The negative DI at 25.96 exceeds the positive DI at 10.81, confirming sellers remain in control of short-term direction.

Price rejected at the Supertrend level during the February 2 recovery attempt, establishing $1.68 to $1.70 as immediate resistance. Bulls need a close above this zone to signal any meaningful shift in momentum.

Outlook: Will XRP Go Up?

The trend remains bearish while price trades below the EMA cluster and consolidates near multi-month lows.

• Bullish case: A daily close above $1.82 would reclaim the 20 day EMA and signal that the $1.50 support is holding. The diamond tokenization deal and continued enterprise adoption could attract buyers if macro sentiment stabilizes.
• Bearish case: A close below $1.50 would break the 2025 support structure and expose the $1.20 demand zone. With volume collapsing and macro headwinds intact, that scenario remains probable.