XRP News Today: XRP Falls 6% as Whale Flows Turn Negative and $3 Support Weakens

XRP is showing signs of renewed pressure as whale flows have turned negative, raising concerns about the sustainability of the $3 support level. Data from CryptoQuant indicates that the 90-day moving average of whale flows has dipped below zero, a pattern reminiscent of early 2025 when XRP dropped nearly 48% from $3.45 [1]. This suggests that large holders are once again offloading their positions, adding to the downward pressure and increasing market volatility.

The current distribution pattern mirrors the early 2025 bearish trend, with EnigmaTrader369 noting on social media that the situation bears a strong resemblance to the conditions preceding that major correction [1]. Although the outflows are not as severe as the earlier episode, the trend is causing unease among traders, especially with no strong whale accumulation evident to counterbalance the selling. Analysts have noted that for a meaningful reversal, large holders would need to consistently accumulate over 5 million XRP tokens daily—something that has not yet occurred [1].

The $3 level, which has historically acted as a crucial support, is now showing signs of vulnerability. XRP briefly rose above $3 amid bullish momentum, but intensified whale selling pushed net flows sharply negative since early 2025 [2]. The token has since slipped below that level, marking a 6% decline over several weeks [3]. Analysts are now closely watching the $3 to $3.30 resistance zone, a range where XRP has previously struggled to gain traction [4]. The repeated failure to break above this level points to structural weakness, especially in the absence of whale-driven buying interest.

CryptoQuant’s analysis further emphasizes the lack of positive whale activity, which has weakened upward momentum and speculative trading [1]. Without consistent accumulation from large holders, the market remains vulnerable to further declines, particularly if outflows continue. Traders are closely monitoring whale flows for any signs of reversal, using the January–February 2025 top as a reference to assess current distribution dynamics [1]. The sharp outflows and subsequent price drop from that period have led some to anticipate a similar outcome if the current distribution persists.

Market sentiment is further complicated by external factors such as regulatory uncertainties and ongoing legal challenges, which have contributed to XRP’s volatility [5]. While some analysts speculate that favorable legal developments could push XRP toward $3.85 by the end of the month, others caution that a lack of legal clarity or worsening sentiment could limit upside potential [6]. The current market environment reflects a fragile balance between bearish distribution pressures and potential catalysts that could spark a rebound—though the absence of strong accumulation remains a key obstacle.

Source:

[1] XRP Whale Flows Turn Deeply Negative as Large Holders Resume Distribution (https://cryptofrontnews.com/xrp-whale-flows-turn-deeply-negative-as-large-holders-resume-distribution/)

[2] XRP hits $3 as $6B whale sell-off signals bearish shift (https://www.ainvest.com/news/xrp-news-today-xrp-hits-3-6b-whale-sell-signals-bearish-shift-2508/)

[3] XRP slips below $3 as chart analysts Ali Martinez warn ... (https://www.facebook.com/photo.php?fbid=738938102352734&set=a.130****63246274&type=3)

[4] This New Protocol Aims to Transform XRP Into a High-Yield ... (https://finance.yahoo.com/news/protocol-aims-transform-xrp-high-173002925.html)

[5] XRP Dances on a Razor's Edge as Whales Dump and ... (https://www.tipranks.com/news/xrp-dances-on-a-razors-edge-as-whales-dump-and-legal-tempests-stir)

[6] DeepSeek predicts price of XRP, Cardano (ADA), and ... (https://www.mitrade.com/insights/news/live-news/article-3-1021867-20250808)