XRP is navigating through a critical juncture as it faces both technical stress and renewed buying interest. After experiencing one of its most significant sell-offs in recent months, the token has managed to rebound from recent lows but remains constrained below a crucial resistance level around $1.50. This situation has sparked considerable debate among analysts regarding whether XRP is poised for stabilization or merely pausing before another downward movement.

The latest downturn saw XRP plummet over 30% from early January peaks, briefly dipping to $1.11 during the market-wide sell-off on February 5. This decline coincided with heightened fear across the crypto landscape, as Bitcoin approached the $60,000 mark, leading to widespread liquidations that wiped out billions from the market.

On the daily chart, XRP's price trends downward, reflecting the impact of this recent volatility. However, some analysts are noting unusual momentum conditions that could hint at a potential reversal. The Relative Strength Index (RSI) for XRP on the weekly chart has fallen to levels typically associated with market bottoms, suggesting that selling exhaustion may be on the horizon.

Despite the market turmoil, XRP recorded its highest single-day trading volume on Coinbase in nearly a year on February 5, a sign some analysts associate with capitulation. This spike in volume, along with extreme oversold indicators, has fueled speculation about whether the worst is over for XRP.

While retail sentiment has weakened amid the decline, notable investors have disclosed their dip-buying activities. Patrick Bet-David, a media personality, confirmed that he added to his XRP position during the downturn, aligning with similar disclosures from market commentator Coach JV. Both emphasize a long-term perspective, indicating that their purchases are part of a broader accumulation strategy rather than short-term trading.

Institutional interest in XRP also seems to be holding steady despite the ongoing price weakness. XRP was the only major cryptocurrency to report positive ETF flows last week, attracting approximately $45 million in net inflows. In contrast, Bitcoin, Ethereum, and Solana products experienced outflows during the same period. Notably, this demand stemmed from Franklin Templeton and Bitwise XRP ETFs, suggesting that some institutional players are maintaining their exposure to XRP even amidst the volatility.

Yet, resistance at the $1.50 level continues to pose a challenge. XRP is still trading below former support zones between $1.50 and $1.65, which now function as supply zones. Analysts are urging caution, indicating that until XRP reclaims these levels and starts forming higher lows, any recent gains should be considered corrective.

As XRP sits at this crossroads, the interplay between its oversold conditions and steady inflows suggests that selling pressure may be easing. However, until the market confirms a broader trend change, the future remains uncertain. The next few days will be critical as traders watch how XRP behaves around the $1.50 resistance. Only time will tell if XRP can transition from a phase of stabilization into a sustained recovery, with many eyes on this pivotal level.