XRP Dips to $1.10 on Binance Withdrawals, Sell-the-News Reactions
XRP price is down 0.76% to $1.10, underperforming a slightly weaker broader market, primarily driven by a sell-the-news reaction to Ripple’s EU regulatory milestone.
Investors reacted negatively to Ripple’s MiCA license approval, which focused on the RLUSD stablecoin and payments infrastructure rather than creating direct demand for XRP.
Ripple secured preliminary approval for a Crypto Asset Service Provider license under the EU’s MiCA regulation on June 23, according to an official statement.
However, the announcement centred on its RLUSD stablecoin and Ripple Payments, framing XRP as merely an underlying asset. This lack of a direct demand catalyst triggered disappointment and selling.
Analysts said regulatory progress alone isn’t enough to drive price; the market needs clear utility or demand mechanisms for the native token.
The entire crypto market cap fell 0.69%, led by a sell-off in tech stocks and concerns over a hawkish Federal Reserve outlook. XRP’s decline was exacerbated by $9.06 million in liquidations, 98% of which were long positions.
Withdrawal transactions on Binance reached a 53.8% share on June 23, the highest since June 2024, while deposits fell to 46.1%. This marks seven consecutive days of net withdrawals.
Concurrently, Ripple’s stablecoin RLUSD saw $539 million burned over 30 days, reducing its circulating supply. This is a neutral-to-bearish signal for near-term price action.
The sustained withdrawal trend suggests holders are moving XRP off-exchange, which could reduce immediate selling pressure but also indicates a lack of confidence in keeping assets on the platform for trading. The RLUSD burns point to reduced liquidity in stablecoins within Ripple’s ecosystem, potentially tightening capital flows.
XRP remains sensitive to general risk sentiment, and leveraged bullish bets are vulnerable during downturns. Technically, XRP is testing crucial support at $1.09–$1.10, with the RSI at 37.27 nearing oversold territory. The immediate trend hinges on whether this level holds.
The bearish momentum is strong, but oversold conditions could set up for a short-term bounce if support is defended. A daily close below $1.09 to confirm further downside toward $1.05.
XRP’s price is caught between a lack of positive catalysts and a weak macro backdrop. The failed reaction to regulatory news underscores the current demand problem. XRP Price Increases as Ripple Seeks to Expand AI Workforce
