XRP Falls 4% as Institutional Selling Hits $2.878 Support Level
XRP Price Drop
- XRP decreased by nearly 4%, breaking from the $2.99 resistance due to institutional selling.
- Volume spiked to seven times the daily average, stabilizing at $2.878 support.
- Traders are monitoring the $2.85–$2.87 support band before Ripple's banking charter review deadline.
News Background
- Ripple aims for a U.S. national banking charter, with scrutiny from regulators and an Oct. 7 OCC deadline.
- Global trade disputes and central bank policies impact liquidity in FX and crypto markets, affecting enterprise tokens like XRP.
- Binance custody reserves increased by ~19% over the week, indicating distribution pressure amidst whale accumulation on-chain.
Price Action Summary
- Resistance: $2.993 confirmed as a strong ceiling after repeated rejections.
- Breakdown: Significant decline between 13:00–15:00 UTC with volumes reaching 586.9M, price dropping to $2.878.
- Range: 24-hour range widened by $0.144 (4.8%), indicating fragile order books.
- Recovery: Brief bounce from $2.858 to $2.881 (+0.8%) suggests short-term stabilization.
Technical Analysis
- Resistance remains firm at $2.99–$3.00.
- The $2.85–$2.87 support band is crucial; a breach could lead to $2.70.
- Volume surged to 7x the daily average due to institutional sell-offs.
- Bears dominate under $3.00 without reversal signals.
- Minor late-session recovery indicates short-term stability but overall fragility persists.
What Traders Are Watching
- Whether XRP maintains the $2.85–$2.87 level or falls toward $2.70.
- The outcome of Ripple’s OCC charter decision and its regulatory implications.
- Impact of Bitcoin's $125K movement on altcoins or XRP's potential decoupling.
- Whale movements following Binance reserve growth and on-chain distribution trends.
- The SEC's October ETF decisions as a sentiment indicator.