XRP News Today: Coinbase's XRP Selloff Sparks Market Whispers of Shift in Strategy

XRP's recent price performance has shown mixed signals, despite the occurrence of an "ultra rare golden cross," a technical indicator that typically signals potential bullish momentum in the market. The golden cross, defined as the 50-day moving average crossing above the 200-day moving average, is a rare occurrence for XRP, with only a few instances in the past decade. Analysts from platforms like Glassnode and Dune Analytics have noted that these events historically correlate with significant price movements. However, despite the bullish technical signal, XRP's price fell to $2.80, a decline from its recent high of $3.65 in July 2025. The price drop suggests that the golden cross, while notable, did not trigger the expected upward momentum for the token.

The broader market context also plays a crucial role in XRP's price trajectory. With the Federal Reserve reportedly considering a rate cut this month, investors have been speculating on how lower interest rates might affect risk assets, including cryptocurrencies. Lower rates typically increase investor appetite for high-risk, high-reward assets, as safer investments like U.S. Treasuries yield less. This dynamic could potentially benefit XRP, as it is categorized as a high-risk, growth-oriented asset. However, any potential upside must be weighed against existing market conditions. XRP has faced a notable correction in recent days, and while historical data suggests that golden crosses can lead to price surges, external factors such as regulatory developments and market sentiment remain key variables.

Coinbase, one of the largest U.S.-based crypto exchanges, has significantly reduced its XRP holdings by approximately 83%, from around 970 million XRP across 60 cold wallets in June 2025 to approximately 165 million XRP in 10 wallets by September 2025. This sharp reduction has raised questions among market participants about the exchange's strategic approach to the token. The move may reflect shifting institutional demand, as well as a broader trend of reallocating XRP holdings to on-chain liquidity environments. Other major exchanges, including Bitget, Binance, and Bybit, have maintained or increased their XRP inventory, contributing to higher trading volumes on their platforms. This contrast highlights the competitive landscape in the XRP derivatives market and underscores the importance of liquidity in sustaining price momentum.

The reduced exchange holdings could have a nuanced effect on XRP’s price. On one hand, lower supply on centralized exchanges may reduce downward pressure on the asset, potentially supporting a price recovery. On the other, volatility remains a key challenge, with resistance levels around $0.42 and $4.00 being closely watched. The ongoing development of potential XRP ETFs could also play a role in shaping investor sentiment. If approved, such products could attract significant institutional inflows, similar to the impact seen with Bitcoin and Ethereum ETFs, which could further support XRP’s price trajectory.

Looking ahead, investors should remain cautious and monitor several key factors. These include the outcome of the upcoming Federal Reserve decision, the possibility of an SEC-approved XRP ETF, and the ongoing activities of major institutional players in the XRP ecosystem. While the golden cross provides a technical signal, it is not a guarantee of price direction. Instead, it should be considered in conjunction with other indicators and broader market conditions. As XRP continues to navigate a volatile landscape, the interplay between technical signals, institutional activity, and macroeconomic factors will remain central to its price performance.

Source:

[1] Coinbase Dumps 83% XRP; Reserves Down From 60 To ... (https://dailycoin.com/coinbase-dumps-80-xrp-reserves-down-from-60-to-10-wallets/)

[2] Ultra Rare Golden Cross XRP: What Does It Mean? (https://www.bitget.com/wiki/ultra-rare-golden-cross-xrp)

[3] Here's Why a Fed Rate Cut Could be Great News for XRP (https://finance.yahoo.com/news/heres-why-fed-rate-cut-094500210.html)

[4] XRP Has Risen 400% In 1 Year: Will It Hit $4 After a Rate ... (https://watcher.guru/news/xrp-has-risen-400-in-1-year-will-it-hit-4-after-a-rate-cut)