XRP Falls 5% as Whale Transfers, Technical Pressure Weigh on Market
XRP dropped 5.1% to $2.41 on Tuesday, sliding from $2.54 as large on-chain transfers and mounting technical weakness triggered renewed selling across the market.
Background and Market Context
The move unfolded without major macro catalysts but reflected a technically driven correction amplified by heavier volumes. Over $1 billion worth of XRP was transferred between Ripple-linked custodial wallets, according to on-chain data. While the transactions appeared internal, the timing fueled uncertainty amid fragile market sentiment.
At the same time, Canary Capital filed an 8-A registration form with the U.S. Securities and Exchange Commission for its proposed Canary XRP ETF, which aims to track spot XRP prices. The filing underscored persistent institutional interest even as near-term price momentum faltered.
Technical Picture
XRP’s decline stabilized near $2.39–$2.41, where short-term buyers stepped in. Intraday data showed a modest rebound of 4.5% from session lows, accompanied by volume surging past 1.1 million tokens at 02:01 UTC, suggesting tactical accumulation.
However, the broader structure remains bearish. A series of lower highs since the $2.54 top indicates sustained selling pressure. The token faces key resistance at $2.43–$2.47, while a break below $2.35 could open the door to deeper losses toward $2.20–$2.25.
Momentum indicators reinforce the cautious outlook. A developing Death Cross, where the 50-day moving average dips below the 200-day, signals further downside risk. Meanwhile, RSI readings hover near oversold levels, hinting at short-term stabilization potential but no confirmed reversal.
Outlook
XRP’s ability to defend the $2.39–$2.41 range will determine whether the current decline turns into a technical rebound or extends into a deeper correction.
Despite the drop, selling volume lacked signs of panic, suggesting controlled profit-taking rather than capitulation. Still, traders remain watchful of large-scale wallet activity, which continues to drive sentiment swings.
For now, reclaiming $2.47 is the key pivot separating consolidation from continued downside.
