XRP News Today: Regulatory Scrutiny and Manipulation Claims Spark XRP's Sharp Decline

The XRP price experienced a significant decline in late 2025, with traders and analysts debating whether the drop was a market correction or a coordinated effort to suppress the token's value. Institutional selling pressure and technical breakdowns highlighted the fragility of XRP's market dynamics, while regulatory developments and manipulation claims added layers of complexity to the narrative.

XRP fell nearly 4% in a single session, breaking below the $2.99 resistance zone amid heavy institutional liquidation flows. Volume surged to seven times the daily average, confirming a breakdown to the $2.878 support level Coindesk^[1]. Traders now closely monitor the $2.85–$2.87 support band, as a failure to hold could trigger further declines toward $2.70 Cryptotimes^[2]. The drop coincided with Ripple's pending U.S. Office of the Comptroller of the Currency (OCC) banking charter decision, which has drawn regulatory scrutiny and added uncertainty to the token's long-term prospects Coindesk^[1].

Technical analysis by Peter Brandt identified a descending triangle pattern on XRP's price chart, suggesting a potential breakdown below $2.68743 could push the price toward $2.22163 Cryptotimes^[2]. This aligns with broader liquidation data, which showed a 4,335% spike in hourly liquidations during the sharp price drop. Long positions accounted for $7.96 million in losses, compared to $179,430 for shorts, underscoring bearish momentum Cryptotimes^[2].

Allegations of coordinated price suppression emerged, with critics pointing to Ripple's control of 43 billion XRP in escrow as a potential mechanism to manage supply and suppress price growth. However, Ripple's CTO clarified that its On-Demand Liquidity (ODL) transactions do not impact open market prices XRP Right Now^[5]. Attorney Bill Morgan countered suppression claims, noting that Ripple's monthly XRP sales represent less than 1% of monthly trading volume and lack sufficient influence to drive sustained price declines XRP Right Now^[5].

Binance faced accusations of manipulating XRP's price through strategic trading activity, with some analysts suggesting the exchange's dominance in custody reserves and whale accumulation could distort market dynamics Techannouncer^[6]. These claims sparked debates about the integrity of crypto exchanges and the need for greater transparency in market operations Techannouncer^[6].

Broader macroeconomic factors, including diverging central bank policies and global trade disputes, further pressured XRP. Enterprise-facing tokens like XRP face headwinds in a liquidity-constrained environment, as institutional investors prioritize Bitcoin and Ethereum ETFs Coindesk^[1]. The U.S. dollar's strength and regulatory uncertainty also contributed to a risk-off sentiment, amplifying volatility across crypto assets .

Despite the challenges, XRP's market fundamentals remain under scrutiny. The token's recent loss of third-place ranking in market capitalization to BNB highlighted its vulnerability to competitive pressures and investor sentiment shifts Cryptotimes^[2]. However, proponents argue that XRP's real-world utility in cross-border payments and blockchain innovation could drive long-term adoption, particularly as Ripple expands its global partnerships .

The coming months will test XRP's resilience as it navigates regulatory deadlines, technical support levels, and market sentiment shifts. Traders will closely watch the SEC's October ETF decisions and Bitcoin's price action for potential catalysts that could reignite altcoin momentum Coindesk^[1]. For now, the token's path remains precarious, with institutional exits and speculative trading activity shaping its trajectory.