XRP slipped below $2.80 on Sept. 1, erasing intraday gains and retracing to roughly $2.75 after a 4% pullback as markets opened for September. Institutional sell pressure — shown in on-chain flows as about $1.9 billion in liquidations since July — amplified the move, while long-term holders quietly accumulated around 340 million XRP over the past two weeks.
Price action and on-chain signals
The sharpest selling occurred at 23:00 GMT on Aug. 31, when the token fell from $2.80 to $2.77 on a spike to 76.87 million in trading volume — nearly three times the daily average. Forced liquidations showed up as bursts exceeding 10M tokens per minute during the final hour before the Sept. 1 close. Meanwhile, ledger activity is trending higher and on-chain liquidity maps show concentration pockets up to $4.00, levels that could magnify an upside push if a breakout occurs. The coexistence of heavy short-term outflows and whale accumulation points to a market split between liquidators and patient holders.
Technical snapshot
Immediate support sits at roughly $2.75–$2.77; failure there would expose targets near $2.50 and $2.00. Short-term resistance remains firm around $2.80–$2.87, with a meaningful breakout line near $3.30. Momentum indicators show the RSI in the mid-40s, consistent with oversold conditions, and MACD histogram compression hints at a possible bullish crossover if accumulation continues. Chart formations — a symmetrical triangle and a double-bottom nested inside a longer-term cup-and-handle — support analyst scenarios ranging from a measured rally into the mid-single digits to more aggressive targets between $5 and $13 if higher liquidity bands are tapped.
What traders should watch
Key near-term triggers include whether the $2.75 area holds as a floor, a daily close above $2.87 that would flip bias toward $3.30, and the tug-of-war between institutional liquidations and whale accumulation. Remember that September seasonality has historically weighed on crypto performance, and unresolved regulatory pressure in the U.S. could amplify volatility. Traders should manage position size and risk carefully — this is market analysis, not financial advice.
In short, XRP’s dip below $2.80 highlights persistent selling pressure but also reveals accumulation beneath the surface. The balance between forced liquidation and whale buying will likely determine whether oversold signals result in a stabilizing bounce or precede further downside.
Source: CoinDesk. Read the original coverage for full details.