XRP Price Crashes as Lending Platform Strobe Finance Shut Down
Ripple (XRP) price crashed to $1.05 on Wednesday, losing an additional 4% in the last 24 hours, as a key DeFi protocol shut down on the XRP ledger, adding to negative ecosystem sentiment.
XRP price movement is closely tracking a broader crypto market sell-off, primarily driven by macro risk-off sentiment spilling over from traditional markets.
Strobe Finance is shutting down its operations. The decentralised lending platform built on the XRP Ledger’s EVM Sidechain announced it’s shutting down permanently, and users are running out of time to withdraw their funds.
The team broke the news on social media, saying the project simply couldn’t raise enough money to keep going. Grants didn’t come through. Angel investors passed. Venture capital never materialised. Without outside funding, the fees the protocol collected weren’t enough to cover basic operating costs.
And then XRP’s price dropped by roughly 60% from its level at the time of Strobe’s launch, which made a bad situation a lot worse. The team had been putting in unpaid labour to keep the lights on, but eventually that wasn’t enough either. No runway, no revenue, no path forward.
Concurrently, U.S. spot Bitcoin ETFs saw record 30-day net outflows exceeding $6 billion, signalling sustained institutional de-risking. XRP lacked a positive catalyst to decouple from the market-wide downturn.
Derivatives data shows long liquidations for XRP reached $8.83 million over 24 hours, forcing leveraged bulls to sell and exacerbating the drop.
Technically, XRP broke below the $1.12 support level, invalidating a previous bullish pattern. The next key support is near $1.05. The Relative Strength Index signal at 34.29 suggests the coin is nearing oversold territory, which could slow the decline.
Bitcoin’s price action around its June 26 options expiry, where a large cluster of puts sits at $60,000, serves as a directional cue for the entire market. XRP is caught in a macro-driven downdraft, with liquidations and weak technicals preventing a rebound. XRP Dips to $1.10 on Binance Withdrawals, Sell-the-News Reactions
