XRP News Today: Whale Exodus Sparks XRP's $3 Battleground

XRP, the third-largest cryptocurrency by market capitalization, experienced a dramatic price movement in late August 2025, marked by a large-scale sell-off of 470 million tokens by whale wallets, valued at approximately $1.35 billion [4]. This massive dumping occurred against a backdrop of heightened volatility, with XRP trading in a $0.15 range between $2.95 and $3.10, before settling back to the critical $3.00 level [1]. A significant spike in trading volume—peaking at 3.26 million XRP in a single minute—suggested institutional or algorithmic activity, but the abrupt halt in trading at $3.00 with zero volume raised concerns about technical issues or liquidity constraints [1].

The sell-off coincided with a broader market correction, as nearly all of the top 10 cryptocurrencies declined in value. Over the previous seven days, XRP had dropped 10%, extending a recent correction that saw its price fall below key support levels, including the 50-day simple moving average [4]. On-chain data revealed that wallets holding between 10 million and 100 million XRP had significantly reduced their holdings, while smaller whale wallets (1-10 million XRP) increased their balances by 130 million tokens [3]. This mixed positioning suggested diverging views among large holders about the near-term trajectory of XRP. However, historical patterns indicate that whale activity often influences broader market sentiment, making the current offloading particularly impactful [3].

The price action also signaled bearish momentum. The Relative Strength Index (RSI) fell below its neutral level, and the Stochastic Oscillator entered oversold territory, suggesting that XRP might be due for a pullback or continued downward pressure [3]. If current trends persist, XRP could face further losses, potentially dropping to $2.89 and even testing the $2.76 and $2.21 support levels [4]. The Moving Average Convergence Divergence (MACD) also showed a bearish crossover, reinforcing the likelihood of a continued downturn. A failure to defend the $3.00 level would open the door for a deeper correction to $2.45 or even below $2 [4].

Market participants are closely watching for signs of a reversal or renewed buying pressure. A successful defense of the $3.00 level could signal a broader market stabilization, potentially leading to a retest of the $3.10 resistance zone [1]. However, given the recent sell-off and weak institutional participation, such a move appears unlikely unless there is a significant shift in investor sentiment. Analysts have also pointed to the importance of Federal Reserve Chair Jerome Powell’s speech at Jackson Hole, which could influence investor behavior, particularly among those with large profits in XRP [3].

The broader implications of XRP’s price movements extend beyond the immediate market environment. As a key player in cross-border payments and remittances, XRP’s performance is closely tied to Ripple’s ongoing efforts to expand its network and regulatory compliance. The recent resolution of Ripple’s lawsuit with the SEC has provided some clarity, but the token’s value remains exposed to regulatory and market-driven risks [3]. With over 93% of XRP’s circulating supply still in profit since mid-July, a bearish shock could trigger widespread profit-taking, further exacerbating downward pressure [3].

As the cryptocurrency market continues to evolve, XRP’s ability to maintain its price above key support levels will be crucial in determining its short-term trajectory. Meanwhile, the ongoing developments in the XRP ETF approval process remain a point of interest for investors. The SEC’s recent delay in decisions on several XRP ETF applications, including those from Nasdaq, Bitwise, and Canary, has added another layer of uncertainty to the market [2]. A regulatory green light could provide additional institutional demand, potentially offsetting the impact of the recent whale-driven sell-off.

Source:

[1] XRP Spikes, Then Stalls, as Traders Face Decisive $3 Mark (https://www.coindesk.com/markets/2025/08/19/xrp-spikes-then-stalls-as-traders-face-decisive-usd3-mark)

[2] Breaking Update on Several Spot Ripple (XRP) ETF Filings (https://cryptopotato.com/breaking-update-on-several-spot-ripple-xrp-etf-filings/)

[3] XRP Price Forecast: Large holders offload 460 million ... (https://www.fxstreet.com/cryptocurrencies/news/ripple-price-prediction-xrp-falls-6-as-large-scale-wallets-offload-tokens-202508200055)

[4] XRP Bleeds Below $3 as Whales $1.35B Exit Wrecks ... (https://www.ccn.com/analysis/crypto/xrp-price-support-shattered-after-whales-exit-no-recovery/)