XRP News Today: XRP Faces Bearish On-Chain Signals as Whale Sales Signal 30% Drop Risk

XRP is currently facing increased short-term selling pressure, with on-chain indicators suggesting a potential market correction is on the horizon. Reports highlight a surge in distribution activity from newer investors, as captured by the Short-Term Investor Active Supply Ratio [1]. This trend reflects a broader shift in market sentiment, where traders are either locking in profits or limiting losses amid growing bearish signals [2]. The increased selling has contributed to downward pressure, raising concerns about the asset's immediate price trajectory [3].

One of the key indicators drawing attention is the Unrealized Net Profit/Loss (NUPL) metric, which has reached levels last seen during the 2021 market peak and even resembling 2018 levels [1]. Historically, such readings have been followed by market corrections or periods of extended consolidation, suggesting a similar scenario may be developing for XRP [4]. The NUPL metric underscores the overbought conditions in the market, triggering heightened caution among investors [5].

Further reinforcing the bearish outlook is the Delta Growth Rate, which measures the divergence between XRP’s market capitalization and realized capitalization over a 365-day period. The data shows that price increases are outpacing on-chain fundamentals, indicating that speculation remains the primary driver of price momentum rather than organic adoption [6]. This disconnect raises concerns about the sustainability of current price levels [7].

Whale activity has also turned increasingly bearish, with large holders offloading nearly $1.9 billion in XRP. Analysts have flagged this as a sign of distribution and a potential harbinger of a 30% price correction by October [8]. Whale outflows often precede significant market movements, and the current trend has amplified fears of a near-term pullback [9]. The distribution pattern suggests a lack of confidence among large investors, further clouding the immediate outlook for XRP [10].

While XRP has shown resilience by holding key support levels around $2.96–$2.93 in early June [2], recent price action has weakened the bullish case. The asset rebounded to $3.08 in early August but failed to sustain levels above $3.10, a critical threshold for bullish momentum [5]. If the current correction continues, prices could drop toward the 20-week EMA near $2.55, aligning with another key support level at $2.65 [6]. This would mark a significant pullback from the recent high of $3.66.

Crypto analyst Ali Martinez has highlighted a convergence of bearish signals, including price action, on-chain data, and broader market sentiment, warning that the current pullback may extend further [7]. While XRP remains within a long-term bullish trend, short-term buyers are increasingly losing control of price direction [8]. The market is now at a critical juncture, with key support and resistance levels likely to determine the asset’s near-term trajectory [9].

On the positive side, Ripple’s recent expansion into stablecoin payments and its acquisition of Rail have injected some bullish momentum [9]. Additionally, the company’s Chief Legal Officer has fueled speculation that the ongoing SEC lawsuit may be nearing resolution, offering another potential catalyst for XRP [10]. However, these developments appear to be overshadowed by the broader bearish narrative [6].

Investors are advised to monitor whale activity, on-chain metrics, and key technical levels closely as XRP navigates this period of uncertainty [3]. The market’s next move will depend on how it responds to these signals, with the potential for either a deeper correction or a consolidation phase ahead [1].

Source:

[1] title: XRP faces bearish on-chain signals amid short-term selling ... (https://www.ainvest.com/news/xrp-news-today-xrp-faces-bearish-chain-signals-short-term-selling-speculative-surges-2508/)

[2] title: XRP News Today: XRP Holds Key $3.00 Level Amid ... (https://www.ainvest.com/news/xrp-news-today-xrp-holds-key-3-00-level-bullish-technical-signals-volatile-price-action-2508/)

[3] title: XRP Price Forecast: 3 Indicators Warn 30% Drop by October (https://www.fxempire.com/forecasts/article/xrp-price-forecast-3-indicators-warn-30-drop-by-october-1539623)

[4] title: XRP Whale Activity Signals Warning: Distribution Pattern ... (https://www.mitrade.com/insights/news/live-news/article-3-1021175-20250807)

[5] title: XRP rebounds amid Ripple's stablecoin payments expansion (https://www.fxstreet.com/cryptocurrencies/news/xrp-price-shows-resilience-as-ripple-acquires-rail-advancing-stablecoin-payments-202508071700)

[6] title: XRP whales offload $1.9B as analyst sounds alarm over ... (https://www.tradingview.com/news/cointelegraph:74cedac8b094b:0-xrp-whales-offload-1-9b-as-analyst-sounds-alarm-over-risk-of-30-price-crash/)

[7] title: XRP May Be Headed For A Deeper Correction, Warns ... (https://cryptorank.io/news/feed/1cdc4-xrp-may-be-headed-for-a-deeper-correction)

[9] title: XRP Ignites Rally Toward $3.28 as as Ripple CLO Sparks ... (https://coinpaper.com/10387/xrp-ignites-rally-toward-3-28-as-as-ripple-clo-sparks-bullish-buzz-with-sec-chair-shoutout)