XRP News Today: XRP Faces Turbulence with 9% Drop Amid Institutional Selling and Geopolitical Tensions

XRP continues to navigate turbulent waters as heightened selling pressure recently drove its valuation into a steep decline. A high-volume breakdown from early August saw XRP retreat by 4.2% during a single 24-hour stretch. This selloff began as the token peaked at $3.08 on August 6, before a sharp reversal pushed the price down to $2.93, marking it as short-term support, according to the latest technical analysis data.

During the session, a notable volume surge exceeded triple the 24-hour average, which initiated a rapid price decline from $3.04 to $2.97. The enhanced selling volume further fortified $3.04 as interim resistance and allowed $2.93 to establish itself as a support floor. Final-hour trading intensified bearish sentiments, with XRP sliding 1% between $2.94 and $2.92 amidst a late volume spike sealing the intraday low.

Amidst these volatile conditions, traders remain attentive to the psychological benchmark of $3.00, assessing whether XRP can reclaim this level and reveal any potential bullish divergence from prevailing trends. With geopolitical tensions contributing to broader market risk-off sentiment, XRP's price fluctuations echoed the instability within macroeconomic environments.

Market participants are also evaluating technical indicators for further insights into XRP's price trajectory. Following a brief breach of the 26-day Exponential Moving Average, XRP hinted at recovery potential, though significant upward momentum remains elusive without volume corroborating a sustained reversal. The token's recent recovery to approximately $3.00 comes on the heels of a multi-day decline from its local peak of $3.70.

A critical evaluation of volume and RSI indicators suggests that while XRP has paused at key levels, the probability of a significant rebound hinges on establishing firm support above $3.10-$3.20. Moving averages further delineate support between $2.71 and $2.60, underpinning market hesitancy.

In parallel, recent predictions for XRP indicate steady positioning above $3 amid seller pressure. Analysts signal the importance of maintaining this threshold to counteract seller dominance and propelling XRP towards positive territory. However, the ongoing struggle between buyers and sellers has left market momentum in a neutral state, poised for potential shifts once volume significantly increases.

The broader picture is shaped by XRP's recent plunge nearly 9% within a 24-hour period ending August 3, a consequence of concentrated institutional selling. This selloff saw volume levels more than double the daily average, culminating in a support formation at $2.75 before a modest recovery attempt stalled below the resistance zone at $2.84. As global trade tensions and macroeconomic shifts reverberate across risk markets, analysts highlight the liquidity risks and capital rotation dynamics away from XRP as disruptive forces in current trading patterns.

Technical analysis reveals that the aggressive volume spike coinciding with the latest decline signifies possible capitulation or a local bottom at $2.75-$2.76. However, the sustaining of XRP above these levels prior to reclaiming territory over $2.85 will be carefully monitored by traders as they gauge the potential for recovery. Institutional trading signals and exchange flow patterns will further inform narratives surrounding accumulation or further downside risk.

Market participants can expect continued scrutiny over macroeconomic developments, particularly trade relations that influence short-term volatility in XRP's price action. The focus remains on whether geopolitical shifts and central banking movements will continue to recalibrate demand away from volatile altcoins.