Key Highlights
- XRP faced a downturn after failing to maintain momentum above $2.88, resulting in a 4% drop as institutional sales increased.
- The focus among traders is now on the $2.77 support level and upcoming SEC decisions regarding XRP ETFs in October.
- Whale activity persists despite erratic pricing, with high exchange balances indicating potential supply pressure.
XRP’s failure to hold above the $2.88 level propelled a decline to $2.81 where buyers returned to stabilize prices. This situation has tethered XRP in a 47-day consolidation phase under $3.00.
News Background
- Six institutional asset managers have submitted spot XRP ETF applications; SEC decisions are upcoming in October.
- About 340 million tokens have been acquired by whales amid the volatility.
- Exchange balances exceed 3.5 billion XRP, which may suggest supply concerns if selling resumes.
- Federal Reserve policy changes and inflation will continue to influence liquidity across risk assets.
Price Action Summary
- XRP traded between $2.81 - $2.89, reflecting 3% volatility.
- The sharpest decline occurred at 14:00 on September 5, dropping from $2.88 to $2.81, approximately 280 million tokens traded.
- XRP stabilized at $2.82, just above the $2.77 support level.
Technical Analysis
- Support: Firm buying zone is located at $2.77 - $2.81.
- Resistance: Limit set at $2.88 - $2.89, with a $3.00 psychological level and $3.30 breakout point above.
- Indicators: The RSI is around the mid-50s, conveying a neutral to bullish outlook.
- Market structure: Currently undergoing a 47-day consolidation under $3.00 with potential pathways opening should it close above $3.30.
