XRP Tumbles on Ripple’s Direct Exposure to Binance Hack
XRP tumbled amid fast selloffs, down to $1.25 from $ 1.34 on Friday after a dark web operation against Binance, a crypto trading company to which Ripple is highly exposed.
The altcoin underperformed a broader market sell-off, driven largely by a record-breaking $6.3 billion hack on Binance that directly involved 233 million XRP.
The move was amplified by a market-wide risk-off sentiment and a cascade of leveraged long liquidations. Traders said direct exposure to the Binance hack, where 233 million XRP ($292 million) were stolen, creating immediate selling pressure and uncertainty.
On October 29, a hacker breached Binance and consolidated approximately 233.46 million XRP worth about $292 million into a single wallet.
This stash represents about 7.6% of XRP’s 24-hour trading volume, creating tangible fear of a large, uncontrolled sell-off. Unlike stolen stablecoins, XRP cannot be frozen by Ripple, leaving exchanges as the primary defense.
The price dipped to $1.20 during the hack before partially recovering. The direct overhang of these coins creates persistent uncertainty until they are recovered or their movement is clarified.
The hack occurred amid a risk-off environment. Major U.S. tech stocks sold off on poor earnings, and Federal Reserve officials signaled a more hawkish stance, weighing on all risk assets.
Bitcoin fell 4.51%, dragging the entire market down. This was compounded by over $1.55 billion in crypto liquidations in 24 hours, with $1.34 billion from long positions.
XRP’s drop was part of a systemic deleveraging event. The spike in trading volume (+146%) reflects panic selling and forced position closures, not new buying interest.
The immediate catalyst (the hack) is known, but the risk of the stolen XRP being sold remains. Technically, XRP faces resistance at its 50-day EMA near $1.35 and has support at the swing low of $1.20.
A key trigger is the movement—or lack thereof—of the hacker’s wallet. The trend is bearish but oversold in the short term. A hold above $1.20 could lead to a relief rally, while a break below opens the path to the next Fibonacci support at $1.09.
A daily close above $1.26 (the pivot point) to signal short-term bullish momentum, or a break below $1.20 to confirm continued bearish control.
The combination of a direct security breach and a hostile macro environment has driven XRP lower. While the initial panic has subsided, the market remains fragile due to the unresolved hacker stash.
