XRP Price Falls Below Key Support as Whale Transfers Stir Market Volatility

XRP price dropped sharply on Tuesday, falling 5.1% to $2.41 after slipping from $2.54 as selling pressure broke through multiple support zones. The decline came without major macroeconomic catalysts, signaling a technically driven selloff fueled by rising volume and significant whale transactions between Ripple-linked wallets. These large transfers, totaling over $1 billion in XRP, sparked renewed uncertainty in an already fragile market, even though on-chain data suggested they were internal rather than exchange-based movements.

The selloff stabilized near the $2.39–$2.41 range as short-term buyers stepped in, prompting a slight recovery to $2.418 overnight. Hourly data revealed a 4.5% bounce from session lows, with trading volume exceeding 1.1 million at 02:01 UTC, indicating accumulation by opportunistic traders at lower levels. However, XRP remains under technical pressure, forming lower highs from the $2.54 peak—a sign of ongoing distribution. Failure to reclaim $2.47 or broken support at $2.43 could expose the token to further downside risk.

From a technical perspective, XRP’s outlook leans bearish as momentum weakens across mid-term charts. A developing “Death Cross” pattern—where the 50-day moving average drops below the 200-day—adds to downside caution. RSI levels nearing oversold territory hint at a potential short-term rebound, but sustained recovery requires renewed institutional buying. Key resistance sits at $2.42, aligned with the 38.2% Fibonacci retracement, while support below $2.35 could trigger a deeper drop toward $2.20–$2.25.

For traders, XRP’s ability to defend the $2.39–$2.41 zone will determine its next move. The controlled volume decline implies profit-taking rather than panic selling, but ongoing whale activity continues to influence sentiment. A decisive close above $2.47 remains crucial to shift XRP from bearish consolidation toward renewed stability.