XRP Price Recovers From the Bottom As Whales Buy the Dips

Core Insights - Ripple's native cryptocurrency XRP has experienced a significant correction of 13%, currently trading at $2.44 after hitting an intraday low of $1.54 during a broader crypto market crash [1][2][3] - The trading volume for XRP surged by 357% to over $21.5 billion, indicating heightened market interest despite the price drop [1][3] - Analysts suggest that the recent price movements may indicate a liquidity flush, potentially setting the stage for a rebound if buying pressure resumes [3] Market Dynamics - XRP faced a steep decline of up to 42% on October 10, primarily due to heavy liquidations of over-leveraged long positions in the derivatives market, with a drop in futures open interest by $150 million [2][5] - The ongoing approval process for several spot Crypto ETFs between October 18-21 could act as a catalyst for future price movements, although the US government shutdown may pose challenges [4] Investor Behavior - On-chain data reveals that the recent decline in XRP's price was not due to significant selling by investors, as exchange balances remained stable [5] - Whale investors took advantage of the price drop, increasing their holdings from 23.98 billion to 25.02 billion XRP, adding approximately 1.04 billion XRP valued at around $2.54 billion [6]