XRP dropped sharply today, primarily due to a combination of large-scale liquidations by whales, a significant decrease in institutional futures open interest, and broader macroeconomic headwinds including global trade tensions and tighter regulatory uncertainty around Ripple. The price plunged as much as 42%, hitting a low of about $1.64 before partially recovering to around $2.36. The selloff was intensified by automated stop-loss triggers and long liquidations, wiping out over $700 million in XRP positions in about 24 hours. Additionally, whale sell-offs amounting to over $50 million daily recently have increased supply pressure on exchanges, contributing to the price drop. The regulatory risk increased after Ripple's National Trust charter deadline passed, adding to the selling pressure. Despite the crash, accumulation by long-term holders below $2.40 suggests some confidence in XRP's fundamentals remains. The drop coincided with a rough day for other major cryptos and came amid fears of renewed trade wars sparked by new U.S. tariffs on China, which caused wider financial market turmoil.
In summary, XRP's drop today was driven by intense liquidation events, whale selling pressure, regulatory uncertainties, and macroeconomic stress factors creating a volatile trading environment for the token.
