Key Highlights
- XRP currently trades near $1.01, positioned beneath critical moving averages at $1.03, $1.06, $1.08, and $1.31
- Large investors accumulated more than 72 million XRP tokens within 24 hours following the drop under $1
- ETF flows shifted positive with $2.25 million in net inflows, driven by Bitwise following a four-day pause
- A security breach on the CoreumāXRP bridge resulted in approximately 200,000 XRP being drained, leading to bridge suspension and FBI investigation
- Network activity surged to its strongest level in two months with 49,929 active addresses recorded in one day
XRP is currently hovering around the $1.01 mark following a brief fall beneath the $1 threshold for the first time since November 2024. While the token has clawed back some ground, selling pressure continues to weigh on the price.
The digital asset remains positioned below its key moving averages. The 7-day, 20-day, 50-day, and 200-day simple moving averages sit above current price action at $1.03, $1.06, $1.08, and $1.31 respectively, creating a technically bearish configuration.
Trading volume for the day registered at $885 million, representing a decline from the previous day’s $905 million. The combination of reduced volume and narrow price movement indicates a lack of strong buying momentum in the market.
However, the breach below $1 caught the eye of major holders. Large wallet addresses accumulated over 72 million XRP tokens within a 24-hour period. Aggregate whale holdings climbed from 12.09 billion to 12.18 billion tokens during the August 12-13 timeframe.
Market analyst Ali Martinez highlighted this accumulation pattern and raised the possibility that major holders might be preparing for an upcoming bullish move.
Institutional Capital Makes a Comeback
Institutional investors have re-entered the market. XRP exchange-traded fund inflows flipped to positive territory with $2.25 million in net daily flows after a four-day period without movement. The Bitwise XRP ETF was responsible for the entire inflow figure and maintains its position as the leading XRP ETF with cumulative net inflows totaling $512 million.
Adding to institutional interest, Morgan Stanley revealed $1 million in XRP holdings through a 13F regulatory filing submitted to the SEC, with positions spread across Franklin, Bitwise, and Rex-Osprey ETF products. Despite these renewed inflows, XRP ETFs currently account for just 1.49% of the token’s overall market capitalization.
Market uncertainty was amplified by a security incident. The bridge connecting Coreum and XRP suffered an exploit that drained approximately 200,000 XRP after a malicious actor submitted a fraudulent deposit to extract funds. Operations were immediately halted and federal authorities became involved.
Network Engagement Reaches Multi-Month Peak
Blockchain analytics provider Santiment reported that XRP recorded 49,929 active addresses during a single 24-hour window, marking the highest figure in more than two months. Santiment observed that despite social media sentiment across platforms like X, Reddit, and Telegram hitting a 3-month bearish low, actual on-chain engagement was climbing ā a divergence that bullish traders typically view as encouraging.
The $1.0020 price floor has successfully defended against four separate tests on shorter timeframes. Additionally, the TD Sequential indicator has generated a buy signal on the monthly chart, while more than 3 billion tokens have been accumulated around current price levels.
Market participants are monitoring the SeptemberāOctober period closely as a possible catalyst window related to the CLARITY Act, pending legislation that could influence market dynamics based on its progression.
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