XRP News Today: XRP Bounces at $3 Support Amid $1B Liquidations and Rising Inflation Concerns

The cryptocurrency market experienced a dramatic liquidation event in late July and early August, with XRP being one of the most impacted assets. The asset fell nearly 5.37% in a short span, dropping to $3.10 as a $1 billion liquidation swept through the market. However, the $3 support level proved resilient, with price bouncing back after testing the key level [2]. This has given investors a glimpse of potential stability in an otherwise volatile environment.

The drop came in the wake of the U.S. Bureau of Labor Statistics’ Producer Price Index (PPI) report, which showed a 3.3% annual increase in July, well above the 2.5% forecast. The core PPI also rose to 3.7% year-over-year, from 2.6% in June. These figures fueled concerns about inflationary pressures and reignited questions about the timing of the Federal Reserve’s next interest rate cut [2]. XRP, like other major cryptos, initially saw a sharp sell-off following the release of the data, dipping to $3 before stabilizing [2].

Technically, XRP’s 4-hour chart shows a mixed picture. Despite a sell-off of $437 million on Thursday, the price rebounded quickly after hitting the $3 level. The Relative Strength Index (RSI) currently stands at 49, indicating weak buying pressure, while the MACD lines hover near the neutral zone, signaling fading bullish momentum. The red histogram bars below zero also point to increasing bearish momentum [2]. If the RSI continues to decline, the $3 support might not hold, potentially dragging XRP toward the 50-day EMA at $2.92 [2].

On the flip side, if buyers regain control, XRP could reclaim the $3.3 resistance level, with a possible push toward its recent high of $3.66. A bullish reversal would depend on the RSI crossing above the 50 level and a strong volume push [2]. Institutional confidence in the asset appears to be growing, with VivoPower’s $100 million investment in XRP as part of a $120 million private placement in May 2025 being a notable development. The firm also partnered with Flare to launch a wrapped version of XRP that generates yield, signaling long-term bullish sentiment [3].

XRP also saw a 4% surge following the resolution of the SEC lawsuit in late July, but concerns over wash trading soon reversed the sentiment. This volatility reflects the broader trend of increasing liquidations driven by leveraged trading and algorithmic strategies [4]. While bulls are hopeful for a move toward $3.5, the market remains cautious. Analysts recommend close monitoring of order flow and volume to assess the strength of any upward movement [5].

The recent developments underline XRP’s growing institutional adoption, which could help stabilize its price and reduce speculative trading exposure. However, the asset remains subject to broader macroeconomic factors, including Bitcoin's performance and the overall health of the crypto market.

Source:

[1] XRP Tests $3.10 Support After $1B Liquidation Triggers ... https://www.ainvest.com/news/xrp-news-today-xrp-tests-3-10-support-1b-liquidation-triggers-5-37-drop-2508/

[2] XRP's $3 support holds as $1B liquidations hit crypto market https://invezz.com/news/2025/08/15/xrps-3-support-holds-as-1b-liquidations-hit-crypto-market/

[3] XRP Price Prediction: $100M Ripple + XRP Bet From Nasdaq Firm – Is $10 XRP Now Inevitable? https://cryptorank.io/news/feed/58592-xrp-price-prediction-100m-ripple-xrp-bet-from-nasdaq-firm-is-10-xrp-now-inevitable

[4] XRP's Volatility and Institutional Re-Entry Amid $1B ... https://www.ainvest.com/news/xrp-volatility-institutional-entry-1b-liquidations-strategic-accumulation-play-2508/

[5] XRP eyes uptrend fresh rebound amid US inflation concerns https://www.fxstreet.com/cryptocurrencies/news/ripple-price-forecast-xrp-price-slides-amid-worrying-us-economic-data-202508141515