XRP News Today: XRP Falls Below $3 as Whale Selling and SEC Delays Fuel Bearish Sentiment

XRP has dropped below $3, trading in the $2.84–$2.89 range, as large whale wallets continue offloading significant volumes of the token. Over the past few days, an estimated 460–470 million XRP tokens—valued at approximately $1.35 billion—have been sold, triggering a sharp sell-off and exacerbating bearish sentiment across major trading platforms [1]. This heavy distribution from large holders has contributed to a broader liquidity crunch and increased price volatility, testing key support levels in the $2.8–$2.9 range [2].

The sell-off coincides with ongoing uncertainty around the regulatory status of XRP. The U.S. Securities and Exchange Commission has delayed decisions on all pending spot XRP ETF applications until October 2025, with key applications such as Grayscale’s XRP Trust now facing a decision date of October 18 [3]. These extended timelines have intensified concerns among investors, further weighing on the token’s price. The SEC’s recent appeal against the Ripple legal ruling has also added to the regulatory ambiguity, fueling market pessimism [4].

Technical indicators suggest that XRP remains in a critical consolidation phase. The token is currently forming a symmetrical triangle pattern, with a key breakout level at $3.26. Failure to reclaim this threshold could push the price down to $2.96 or lower, particularly if further large-scale sell-offs persist [5]. Market analysts have also noted increased institutional activity, with reports indicating that over $3.8 billion worth of XRP was added during the recent downturn, potentially signaling strategic accumulation [6].

Bearish pressure is also evident in the negative funding rates observed on platforms like Binance and BitMEX, which indicate a shift in market positioning toward short-term selling [7]. This has led to a broader decline in investor sentiment across the crypto market, with ripple effects seen in other major cryptocurrencies. However, some analysts point to historical patterns, noting that past regulatory events have led to rapid recoveries once legal clarity was restored [5].

Despite the immediate downward trend, the long-term outlook for XRP remains subject to regulatory developments and macroeconomic conditions. With whale activity intensifying and ETF timelines delayed, the market is likely to remain in a state of heightened volatility in the coming weeks. Investors are advised to remain cautious and closely monitor key price levels and regulatory updates for potential turning points.