XRP Falls to $1.28, Ripple Executes Escrow Release
Ripple (XRP) price dipped more than 4% to $1.28 on Monday as investor sentiment continued to decline amidst 1 billion XRP unlocked from escrow.
Trading below its support level, XRP underperformed a broadly weaker crypto market, primarily driven by macro-driven selling pressure that pulled Bitcoin and major altcoins lower.
XRP’s decline aligns with a 2.09% drop in total crypto market cap. The move was led by Bitcoin, which fell 2.81% as U.S. spot Bitcoin ETFs saw a record 10-day outflow streak nearing $3 billion.
Geopolitical uncertainty around U.S.-Iran tensions added to the risk-off sentiment.
XRP is behaving with high beta to Bitcoin during this downturn, with no coin-specific catalyst to decouple. A stabilization in Bitcoin ETF flows and the $72,000 support level.
Crypto market sentiment is depressed with significant sell pressures across top digital assets, Order book depth on major exchanges like Binance is at its lowest since 2020, making prices vulnerable to large sell orders.
Concurrently, about 47% of addresses that bought XRP in the past 30 days are at a loss, the highest since December 2020.
The market structure is fragile; even modest selling can trigger amplified declines if loss-holders capitulate. A surge in exchange inflow volume, which could signal distribution.
The immediate trend is bearish below the $1.34 resistance. The key support is $1.31, which held during the latest sell-off. If this level breaks, the next significant demand zone is near $1.28.
A contrasting bullish signal is sustained institutional interest, with XRP ETFs attracting $131.94 million in May inflows while Bitcoin and Ethereum funds bled capital.
Crypto analysts said price action is weak, but accumulation signals suggest longer-term confidence. A daily close above $1.34 will signal a potential short-term rebound.
XRP is caught between persistent macro selling and constructive on-chain accumulation, leading to a breakdown of key support
Ripple executed its scheduled monthly escrow release, unlocking 1 billion XRP worth over $1.33 billion across three transactions. The company holds about 38.15 billion XRP in escrow, with approximately 61.85 billion in circulation.
This is a neutral, routine event for XRP’s supply dynamics. Ripple typically re-locks a substantial portion of unlocked tokens, mitigating immediate sell-side pressure.
The focus remains on the company’s long-term management of its escrow holdings and on any potential future decisions, such as a token burn. BNB Rises on Grayscale’s Endorsement, Uniswap Proposal
