XRP News Today: XRP Falls Below $3 as Whale Sales and Market Weakness Drive 2% Drop

XRP has faced significant downward pressure in recent trading sessions, dropping below the key $3 support level to trade at $2.89 as of the latest data, marking a 2% decline in the past 24 hours. The sell-off has been attributed to broader market weakness, with Bitcoin also slipping below $114,000, amplifying the bearish sentiment across the crypto market [2]. Whale activity has further contributed to the sharp decline, including a $175 million XRP transfer by Ripple co-founder Chris Larsen, raising speculation about institutional profit-taking or repositioning [1]. Over 710 million XRP tokens were dumped by large wallets within a 24-hour period, signaling distribution pressure and increased bearish momentum [1].

Technical indicators reflect the ongoing bearish bias. XRP is currently below a descending trendline on the 4-hour chart and beneath the 50-period SMA at $3.08, which now acts as resistance after a breakdown from $2.93. A series of bearish candlestick patterns, including an engulfing formation, suggest that sellers are dominating the price action [1]. The $3 level has become a critical psychological threshold, and its breach has eroded bullish confidence. The RSI has entered oversold territory but has only partially rebounded, remaining below the 50 neutral line. Traders are closely watching the current test of the $2.93–$2.94 range, which previously functioned as a support but now acts as resistance [1].

If XRP fails to reclaim this level with strong conviction, the bearish outlook remains intact. Key support levels to watch are $2.73 and $2.61. A rejection at $2.94 could provide a short-term entry for bearish traders, with a stop loss placed just above $3.08. A clean close above $3.10 would, however, signal a potential reversal in sentiment, possibly pushing the price toward $3.18 and beyond [1]. Analysts have also noted a potential 30% drop to as low as $2 if key support levels fail, a scenario being weighed against broader macroeconomic concerns and geopolitical tensions [4].

Despite the immediate bearish pressure, some analysts remain cautiously optimistic about a potential bullish reversal. Analyst Xoom, for instance, has projected that XRP could see a price of $6–$8 in August, assuming the current correction nears completion [5]. This forecast highlights the uncertainty in the market and the importance of monitoring whale activity and trading volume. On-chain data indicates that 1.35 billion XRP was transferred in a single day, signaling a potential market reversal [6].

The ongoing price action reflects a tug-of-war between bearish momentum and potential catalysts, such as the anticipated XRP ETF approval, which currently holds a 95% approval odds. While this introduces a possible bullish catalyst, the immediate outlook remains cautious due to XRP’s inability to maintain momentum above key levels, leading to increased volatility [1].

Institutional developments have also played a role in shaping the long-term outlook. Ripple's acquisition of Securrency has unlocked access to a $2.5 quadrillion settlement system, positioning the company in line with conventional market settlement procedures [1]. Analyst Squire has emphasized that XRP's role extends beyond speculative trading to enabling large-scale real-world value transfer, which could reduce circulating supply over time if more financial networks adopt the asset [1].

Technical analyst BitGuru has identified a rounded bottom forming on the 4-hour chart following the decline from $3.65, suggesting a potential reversal. The price is consolidating around $2.8, and the RSI has returned to the neutral line, while the MACD is beginning to flatten—typical indicators before a price reversal [1]. The consolidation zone aligns with past resistance levels, and a successful breakout could reinforce the bullish case for the remainder of the year.

Overall, while near-term bearish pressure remains strong, a combination of technical patterns, whale activity, and institutional developments suggests that XRP could be setting up for a significant reversal in the coming weeks. Investors are advised to closely monitor key support and resistance levels, whale movements, and macroeconomic developments as the asset navigates this critical phase in its price action [1][5][6].

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[1] https://coinpedia.org/news/xrp-price-prediction-turns-bearish-30-fall-to-2-now-on-the-table/

[2] https://www.facebook.com/manuel.guevarra.369210/photos/eric-trump-flashes-buy-the-dip-sign-as-bitcoin-and-ethereum-price-crashamid-fall/735578109355400/

[4] https://www.cryptotimes.io/all-news/

[5] https://www.fomoed.io/

[6] https://u.today/1300000000-in-24-hours-xrp-skyrockets-60-in-key-metric