Whales Activity Drops XRP Price, ETF Approval Could Drive Rebound

Key Insights:

• Whale sell-off triggers XRP price decline.
• Derivatives open interest continues to rise.
• Market eyes ETF approval and RLUSD traction as next catalysts.

Ripple (XRP) price faced a sharp price drop following a massive whale sell-off. In just 48 hours, 1.12 billion XRP tokens were offloaded.

This distribution has contributed to a price drop, pushing XRP price from around $2.18 to below $2.05. This fueled the bearish sentiment in the market.

However, attention is shifting toward RLUSD adoption and XRP ETFs as potential catalysts for a price rebound. At the same time, the daily chart indicated critical technical levels that traders closely monitor.

Whale Activity and Market Impact on XRP Price

In mid-March 2025, large XRP holders with 100 million to 1 billion tokens sold their positions in unison. This coordinated sell-off between March 27 and 29 triggered a massive XRP price drop.

Santiment observed that a considerable sell-off from XRP whales caused the price to drop from $2.18 to below $2.05.

This whale activity directly affected the market, adding to the selling pressure. However, the sell-offs tend to be bearish signalises, which leads to downward momentum in the short term.

XRP’s Daily Chart Analysis: Consolidation and Key Levels

The daily chart revealed that XRP was trading at $2.0713, down by 3.07% in the last 24 hours. The support level is at $2.0238, the recent low where the price has previously bounced. A break below this level would be essential, as it could suggest further downside in XRP.

At the same time, the resistance sits at $2.1371, which prevents the price from rising above this range. A break above this resistance could indicate an upward breakout if XRP price breaks above this resistance.

RSI (Relative Strength Index) was now at 37.80, signaling that XRP was in oversold territory. If buying pressure starts to pick up, we might see a reverse soon.

On the other hand, CVD  (Cumulative Volume Delta) was down to -12.47M. It was a negative volume flow, indicating intense selling pressures.

The slight bearish crossover of the MACD has occurred. The MACD line was at -0.0285, dipping below the signal line at -0.0345. However, the histogram was shrugging, and if XRP price starts increasing, it could be a bullish indicator.

XRP Price Market Sentiment and Potential Catalysts

Market analyst AMCryptoAlex also supports the bearish market outlook, stating that the demand for XRP has slowed recently. He highlighted two potential catalysts that could reignite XRP price movement.

The first would be RLUSD, a stablecoin pegged on the XRP Ledger. If RLUSD experiences broad adoption, it will significantly enhance XRP’s demand and move the price upward. The second catalyst to watch for XRP is the approval of XRP ETFs.

Regulatory approval for XRP-based ETFs could potentially open the door for institutional investors. This move might inject significant new capital into the market. That could drive XRP price higher and even spark a strong rally.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.