XRP Price Under Pressure as Whale Selling Intensifies Amid Key Resistance Levels

XRP, the cryptocurrency associated with Ripple’s ecosystem, is facing heightened selling pressure following its recent dip below the critical $3 threshold. Large-scale holders, commonly referred to as 'whales,' have been offloading significant amounts of XRP daily, adding to concerns about the asset's short-term trajectory. On-chain data reveals that roughly $50 million worth of XRP is being sold daily by these key players, raising questions about the cryptocurrency’s ability to maintain vital support levels.

Whale Activity Escalates: $50 Million XRP Sold Daily

The increase in whale-driven selling activity has emerged as a major factor influencing XRP’s price. According to insights from CryptoQuant analyst Maartunn, this intensified selling began in earnest after XRP fell below $3, triggering a wave of liquidation. On a 30-day moving average, approximately $50 million worth of XRP is being offloaded from whale wallets daily, amplifying bearish sentiment in the market. “The selling pressure is persistent,” Maartunn noted in a recent report.

Further corroborating this data, a notable spike in XRP’s supply on centralized exchanges was observed in late September and early October, an indication of impending large-scale sell-offs. On-chain analyst CryptoOnchain elaborated, “This strongly suggests that whales are preparing for further divestment. The buildup of selling activity sets the stage for potential sharp declines.” He also pointed out that fear has once again gripped market sentiment, returning to levels not seen since the announcement of former President Trump’s tariff policy in April—a similar period of heightened uncertainty.

Technical Analysis: Descending Triangle Signals $2.20 Target

From a technical perspective, XRP’s bearish trajectory is underscored by chart patterns that signal vulnerability to further declines. Renowned trader Peter Brandt flagged XRP as a potential short candidate based on its ongoing formation of a descending triangle pattern—the hallmark of a bearish setup. In an October 9 tweet, Brandt stated, “XRP is on my list of short candidates, but it’s contingent upon completing the descending triangle.”

Brandt suggested that a breach of the $2.75 support level could pave the way for intensified selling pressure, driving XRP down to a potential downside target of $2.20. Such a move would represent a roughly 22% decline from the current trading price of $2.82. He emphasized the importance of the $2.75-$2.80 range as a key support zone and warned, “Failure to hold this level could result in a sharp sell-off.”

Spot XRP ETF Approval: Light at the End of the Tunnel?

Amid the prevailing bearish outlook, optimism remains surrounding a potential catalyst that could reverse the downward trend—approval of a spot XRP exchange-traded fund (ETF). Market commentators, including the digital asset influencer “XRP Updates,” have noted that the U.S. Securities and Exchange Commission (SEC) could grant approval for an XRP ETF by October 18, potentially injecting new momentum into the market. ETF approval is often viewed as a gateway for institutional inflows, which could lift market sentiment and reinvigorate buying interest.

However, caution persists among industry insiders. Even if an SEC greenlight sparks initial optimism, whales could seize the opportunity to liquidate holdings at higher prices, dampening the rally and triggering further corrections. This dynamic makes the prospect of near-term stability for XRP uncertain, even with positive regulatory developments.

Weighing Opportunities Against Risks

XRP’s price movements are increasingly dictated by conflicting forces, and its future trajectory hinges on how these dynamics play out. On the bearish side, persistent whale-driven selling and deteriorating market sentiment continue to undermine key support levels, particularly the $2.75 zone. On the bullish side, the potential approval of an XRP ETF introduces an element of optimism that could stabilize XRP’s price and attract fresh interest from institutional investors.

Currently, XRP is moving within a narrow range between $2.75 support and $3 resistance, leaving investors torn between fear and hope. The coming weeks will be pivotal as whales, technical patterns, and regulatory developments converge to determine whether XRP’s price rebounds or succumbs to further declines. How the balance shifts between these opposing forces will ultimately dictate the cryptocurrency’s direction in both the short and long term.