XRP Price Drops to $2.80 as Institutional Liquidations Offset Whale Accumulation

Quick Take

• XRP currently trading at $2.80 (-1.49% in 24h)
• Ripple’s RSI at 43.15 indicates neutral momentum with potential oversold bounce
• Institutional liquidations totaling $1.9 billion since July pressuring XRP price downward
• Whale accumulation of 340 million XRP tokens signals strong conviction despite recent selloff

What’s Driving Ripple Price Today?

XRP price has declined 4% over the past week, falling from $2.85 to current levels of $2.80, primarily due to massive institutional liquidation flows. The cryptocurrency market has witnessed $1.9 billion in institutional liquidations since July, creating significant downward pressure on XRP price action.

Despite this bearish institutional activity, a contrasting narrative emerges from whale behavior. Large investors have accumulated nearly 340 million XRP tokens recently, demonstrating confidence in Ripple’s long-term prospects. This whale accumulation occurred even as XRP retreated from its July record high of $3.65, suggesting sophisticated investors view current levels as attractive entry points.

The divergence between institutional liquidations and whale accumulation creates an interesting dynamic for XRP price discovery. While institutional selling provides immediate downward pressure, the whale accumulation pattern typically precedes significant price recoveries in cryptocurrency markets.

XRP Technical Analysis: Mixed Signals Emerge

Ripple technical analysis reveals a complex picture with both bearish and bullish elements present. XRP’s RSI currently sits at 43.15, placing the cryptocurrency in neutral territory but approaching oversold conditions that historically precede bounce attempts.

The MACD indicator shows bearish momentum for XRP, with the main line at -0.0637 and signal line at -0.0542, creating a negative histogram of -0.0095. This suggests short-term selling pressure continues to dominate price action.

XRP’s moving average structure presents a mixed outlook. While the cryptocurrency trades below its 7-day SMA of $2.81 and significantly below the 20-day SMA of $2.90, it maintains a position above the critical 200-day SMA of $2.49. This configuration indicates medium-term weakness within a longer-term uptrend.

Ripple’s Bollinger Bands analysis shows XRP trading near the lower band at $2.70, with the current price representing a %B position of 0.2651. This positioning often coincides with oversold conditions and potential reversal opportunities.

Ripple Price Levels: Key Support and Resistance

Critical Ripple support levels center around the $2.70 zone, which aligns with both the Bollinger Bands lower boundary and previous consolidation areas. This level has proven significant as both immediate and strong support according to technical analysis data.

For XRP resistance, traders should monitor the $3.13 immediate resistance level, which represents a 12% upside from current prices. Breaking above this level could trigger momentum toward the stronger resistance at $3.65, matching July’s record high.

The XRP/USDT trading pair shows a clear pivot point at $2.83, just above current market prices. A reclaim of this level would shift near-term sentiment from bearish to neutral, potentially attracting momentum traders back to Ripple.

Based on Binance spot market data, the average true range (ATR) of $0.14 suggests XRP maintains moderate volatility, providing opportunities for both swing traders and scalpers to capitalize on intraday price movements.

Should You Buy XRP Now? Risk-Reward Analysis

Conservative investors should wait for a clear break above the $2.83 pivot point and sustained trading above the 20-day SMA of $2.90 before considering new XRP positions. This approach reduces exposure to continued institutional selling pressure while positioning for confirmed trend reversal.

Aggressive traders might consider accumulating XRP near current levels, following the whale accumulation strategy. The risk-reward profile appears favorable with strong support at $2.70 (2.5% downside) versus potential resistance targets at $3.13 (12% upside) and $3.65 (30% upside).

Swing traders should monitor XRP’s RSI for potential oversold bounces below the 40 level, while using the 200-day SMA at $2.49 as a ultimate stop-loss level. This strategy aligns position sizing with the overall bullish trend while managing downside risk.

Day traders can leverage the $0.14 daily ATR to set profit targets and stop losses, focusing on the $2.70-$2.90 range until XRP price demonstrates clear directional bias above or below these levels.

Conclusion

XRP price faces near-term headwinds from ongoing institutional liquidations, but whale accumulation patterns suggest smart money views current levels as attractive. The next 24-48 hours will likely determine whether Ripple can hold the critical $2.70 support level and begin recovering toward the $2.83 pivot point. Traders should monitor volume patterns and institutional flow data for early signals of trend reversal, while maintaining disciplined risk management given the mixed technical signals currently present in XRP’s chart structure.

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