XRP Selloff Slows as Ripple Supports SEC Crypto Asset Framework
Ripple (XRP) selloffs slowed, with the price hovering around $1.32 on Friday and underperforming a slightly weaker broader market, driven by risk-off spillover from a tech stock sell-off and coin-specific selling pressure from large holders.
XRP movement reflects broader market risk aversion, as a tech stock sell-off pressured crypto, with Bitcoin down 0.80%. Traders said heightened whale deposits to Binance signalled profit-taking, coupled with weakening spot ETF demand.
The drop aligns with a broader crypto decline. Bitcoin fell 0.80% as a Wall Street tech sell-off spilt into Asian equities, pushing investors into a defensive stance. Crypto is trading as a “high-beta tech position,” making it sensitive to this macro shift.
XRP’s move was not isolated; it followed a market-wide downturn driven by deteriorating risk appetite. Large holders sent about $112.4 million in XRP to Binance, the highest monthly average inflow in seven months, suggesting profit-taking after its recent rebound.
Concurrently, U.S. spot XRP ETF inflows have slowed dramatically, with only $708,520 recorded on October 21 after a 13-week inflow streak ended.
Crypto analysts said the combination of potential selling from large wallets and tepid institutional demand created localised downward pressure. Exchange inflows have fallen sharply, and consistent ETF buying has returned.
Technically, XRP is testing crucial support at $1.30, with the next major level at $1.25. The 7-day RSI of 40.34 shows oversold conditions but doesn’t guarantee a bounce. The immediate trigger is whether the price can reclaim the $1.34–$1.35 resistance zone.
The trend is bearish below $1.34. Holding above $1.30 could spark a relief rally, but a failure opens the door to a deeper correction. A daily close above $1.35 would signal short-term strength, while a close below $1.30 would confirm further downside.
XRP’s decline reflects macro headwinds and coin-specific distribution. Holding the $1.30 level is critical for stemming further losses.
Ripple publicly supported the SEC’s proposed Regulation Crypto Assets framework, advocating for legislation over enforcement. It agreed that an investment contract—not the token itself—defines a security but opposed classifications it argued could reintroduce legal uncertainty.
Crypto analysts said Ripple’s push for clarity is bullish for long-term institutional adoption, but its opposition to certain SEC terms highlights ongoing regulatory friction that could delay wider acceptance. Bitcoin Drops by 4% as S&P 500 Retreats on Equities Selloffs
