Sep 23, 2025
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XRP Drops 4.9% Amid ETF Debut, Hits $11 Billion Market Loss
XRP experienced a significant decline, dropping nearly 5% during heavy trading as institutions sold off following the REX-Osprey ETF launch.
Key Points
- The debut of the U.S. XRP ETF (REX-Osprey) saw record first-day volume of $37.7 million, marking the largest ETF launch in 2025.
- Whale wallets moved $812 million in tokens between unknown addresses.
- Crypto derivatives faced $1.7 billion in liquidations, predominantly from long positions.
- September inflation cooled to 2.18%, leading markets to anticipate a 50 bps rate cut by year-end.
- Bitcoin dominance rose to 57.7%, indicating capital rotation away from altcoins.
Price Action Summary
- XRP dropped from $2.87 to $2.77 within 24 hours, a 4.9% decrease over a $0.14 range.
- A flash crash at 06:00 GMT resulted in a price drop with 656.1M volume, significantly above the daily average of 105M.
- Resistance solidified at $2.87 despite multiple intraday rejections.
- The price briefly recovered to $2.86 before consolidating between $2.83 and $2.87.
- The final hour saw a decline, closing XRP at $2.83.
Technical Analysis
- Critical support is at $2.77; secondary level at $2.82 may be retested.
- Heavy supply zone resistance at $2.87, with a downtrend channel forming.
- High volume during the crash suggests institutional selling.
- Short-term bearish trend with lower highs at $2.856 and lower lows at $2.83.
- Bearing momentum indicates risk of further decline if $2.82 fails.
Market Considerations
- Traders are monitoring whether $2.77 support can withstand another test.
- Observing day-two ETF flows for price stabilization or further sell-off confirmation.
- Watching whale wallet activity after substantial token movements.
- Evaluating the impact of potential Fed rate cuts on dollar liquidity.
- Persistent pressure on altcoins due to BTC dominance at 57.7%.