XRP is defending the $1 level after dipping to $1.01, recovering toward $1.04 as the CLARITY Act sinks deeper into legislative uncertainty ahead of a September vote.

The psychological floor held, though the token remains the weakest performer among major cryptocurrencies this week.

Why the CLARITY Act Keeps Weighing on XRP

Cloture is the Senate procedure that ends debate on a bill, typically requiring 60 votes to advance legislation toward a final decision.

Majority Leader John Thune still intends to file cloture on the motion to proceed before lawmakers leave for the August recess. That move carries real significance. Filing would position the CLARITY Act for a procedural vote when the Senate returns, signaling Republican leadership still prioritizes the bill.

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The votes are not there yet, however. Republicans lack sufficient support on their own, while several GOP senators have raised concerns about specific provisions.

Two disputes dominate negotiations. Stablecoin rewards have prompted heavy lobbying by banks, while Democrats demand stronger ethics rules on officials profiting from crypto ventures.

The Levels That Decide What Happens Next

Leveraged traders paid the price. Roughly $9.6 million in liquidations hit the market yesterday, with longs absorbing most of the damage.

The recovery arrived overnight. XRP trades near $1.03, according to BeInCrypto data, with volume modestly supporting the bounce. Activity reached $1.37 billion, a 3.3% increase, suggesting renewed participation at these levels.

Weekly performance still disappoints. The token has fallen 2.3% over seven days and 5.6% across the past month, underperforming a broader market that gained ground.

Resistance sits close overhead. Sellers have repeatedly defended the $1.06 to $1.08 zone, blocking recovery attempts throughout the week. Clearing that band changes the setup. Analysts see a push toward $1.12, then $1.18, if buyers reclaim the level with sustained volume.

Downside targets are equally defined. Losing $1 would expose Fibonacci support near $0.97, with the $0.65-$0.85 zone serving as the next meaningful floor.

Meanwhile, prediction markets lean cautiously. Polymarket assigns a 68% probability that XRP hits $1 or below during August, with around 13% pointing toward $1.20 or higher.

For now, nothing is settled. XRP has defended $1 twice this week, though each bounce came on thinner conviction than the last. Whether the level survives until September depends on variables beyond anyone’s control: Bitcoin’s direction, macro data, and a Senate negotiation that could collapse or advance without warning. Only time will tell.

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Source: BeInCrypto