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XRP Slumps as Risk-off Wave Fuels Broad Selling Across Crypto Markets

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$XRP slid sharply as a global risk-off shock sparked a broad crypto unwind, with hawkish U.S. policy signals, geopolitical stress, and record ETF outflows driving heavy selling before losses began to stabilize.

$XRP Hit Hard as Risk-off Shock Triggers Broad Crypto Unwind

At 9:02 a.m. UTC on Jan. 30, $XRP is trading at $1.75375, stabilizing after an extended intraday slide that accelerated during the prior session. Price has rebounded modestly from a sharp dip toward the lower end of the recent range and is now holding just above short-term lows. While $XRP remains under pressure on the day, the pause in selling suggests downside momentum is beginning to moderate as buyers probe for balance near current levels.

From a short-term structure standpoint, $XRP’s price action reflects a clear transition from consolidation into a descending phase. Earlier attempts to sustain trade above the $1.88–$1.90 area failed repeatedly, with multiple hourly candles stalling in that zone before turning lower. Once price slipped beneath the $1.83–$1.82 area, downside momentum accelerated, driving $XRP toward an intraday low near $1.71. The subsequent bounce has so far been limited, with price rotating back toward the $1.75–$1.76 region. Recent candles show smaller real bodies and shorter wicks compared with the impulsive selloff, indicating sellers are losing some control. Volume expanded notably during the break from above $1.80 and has moderated as $XRP trades sideways near current levels, a pattern more consistent with exhaustion than renewed distribution.

A convergence of macroeconomic and geopolitical developments is amplifying downside pressure across risk assets. Markets are reacting to President Donald Trump’s nomination of Kevin Warsh to succeed Jerome Powell as Federal Reserve Chair, a move viewed as signaling a more hawkish policy stance. The nomination has fueled a rebound in the U.S. Dollar Index as traders reprice expectations for higher interest rates for longer, triggering broad weakness across cryptocurrencies and pressuring $XRP alongside the rest of the sector.

Geopolitical stress is compounding the selloff as tensions in the Middle East escalate following the arrival of a U.S. carrier strike group and warnings from Washington toward Tehran. Risk aversion has intensified as traders shift toward cash, with liquidation pressures spreading across markets. On the institutional side, $XRP has faced an additional headwind from record outflows in investment products, with U.S. spot $XRP ETFs posting their largest single-day net redemptions on record, led by heavy withdrawals from the Grayscale $XRP ETF. At the same time, uncertainty surrounding a potential U.S. government shutdown at midnight is adding another layer of instability, reinforcing the defensive tone dominating markets.

Read more: $XRP Millionaire Wallets Are Growing — Whales Are Accumulating

Technical indicators continue to underscore $XRP’s fragile posture. The Relative Strength Index ( RSI) is near 39.7, keeping momentum in bearish territory while showing early signs of stabilization from oversold-adjacent levels. The Moving Average Convergence Divergence ( MACD) remains negative, with the MACD line below the signal line and the histogram still red, though downside momentum has begun to contract. From a Moving Average (MA) perspective, $XRP is trading well below the 50-period simple moving average near $1.83369 and the 200-period simple moving average around $1.88657, defining layered resistance overhead. Bollinger Bands remain expanded, with price rebounding from near the lower band around $1.71893 and holding below the middle band near $1.81239, signaling elevated volatility even as selling pressure eases.

If $XRP can continue to hold above the recent lows near the lower Bollinger Band and reclaim the $1.76–$1.78 zone, the market may attempt a broader relief move toward the mid-band and nearby moving averages. A failure to sustain this stabilization, however, would keep $XRP vulnerable to another test of the lower range, leaving the near-term bias tilted to the downside as long as momentum remains weak.

FAQ

  • Why is $XRP under pressure today?
    $XRP is sliding amid macro uncertainty, geopolitical stress, and record outflows from U.S. spot $XRP ETFs.
  • What level is $XRP stabilizing near?
    $XRP is holding just above short-term lows around the lower Bollinger Band near the $1.75 area.
  • How are ETF flows impacting $XRP?
    Heavy redemptions, led by the Grayscale $XRP ETF, are adding institutional selling pressure.
  • What do technical indicators suggest for $XRP?
    RSI and MACD remain bearish but show early signs that downside momentum is slowing.
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