XRP Price Analysis: What’s Next for Ripple as $2.75 Support Holds After Sharp Decline From $3
By Shaurya Malwa, CD Analytics
Published August 3, 2025
XRP, the digital asset associated with Ripple, experienced a significant price drop in the latest 24-hour trading period, plunging nearly 9% from just above $3.00 to a low of $2.75. This sharp decline has sparked questions among traders and investors about the cryptocurrency’s immediate prospects, with key technical levels now under close watch.
Sharp Decline Driven by Institutional Selling and Macro Pressures
The 24 hours ending August 3 at 04:00 (UTC+7) saw XRP fall from $3.02 down to $2.75, marking one of its steepest single-day drops recently. The move was primarily attributed to heightened institutional selling activity, as trading volumes during the peak sell-off window doubled, reaching approximately 222.24 million XRP—an increase of 183% from the daily average of 78.52 million.
This institutional pressure coincided with broader global economic factors creating turbulence across risk markets. Heightened trade tensions, particularly between major economies, renewed tariff uncertainties, and shifting macroeconomic policies have caused capital rotations from altcoins like XRP toward more liquid and perceived safer assets. Central banks’ ongoing policy adjustments and geopolitical risks further exacerbated investor uncertainty.
Technical Support Found Near $2.75; Recovery Attempts Stalled Under $2.84
Despite the steep decline, XRP found short-term support near the $2.75 mark, where buying volumes surged, suggesting this could be a local bottom or capitulation point. Technical analysis indicates that the $2.75 to $2.76 price zone is now a critical first layer of support for XRP.
However, efforts to rebound above this level have been cautious. Recovery attempts stalled below the next major resistance near $2.84, and XRP closed the most recent trading hour at around $2.82. The sharp drop in volume from approximately 3.7 million per minute at peak selling to 650,000 per minute during the last hour signals possible buyer fatigue or a waiting period before the next directional move.
What Traders Are Watching Now
Market participants are closely monitoring whether XRP can sustain above the $2.75 support level and establish a foundation for further recovery. Failure to break back above the $2.85 resistance level could indicate additional downside risk ahead.
Institutional flows will be a key indicator moving forward—significant inflows might confirm accumulation interest and confidence in the asset at these levels, while continued outflows to exchanges could signal more selling pressure is imminent.
Traders also remain attentive to broader macroeconomic developments, including U.S.-China trade policy updates, which have previously influenced momentum in cryptocurrency markets. Volatility metrics such as the CD20 Index will provide additional insight into short-term risk and price direction.
Price Summary (24H):
- High: $3.02
- Low: $2.75
- Close: $2.82
- Range: $0.27 (-8.91%)
Context and Outlook
XRP’s price action is unfolding against a backdrop of increasing global uncertainties that affect capital flows into digital assets. Amidst renewed trade tensions and central bank manoeuvres, liquidity in altcoins like XRP is coming under pressure while investors seek safer, more liquid investments.
Despite this, the presence of strong volume near the $2.75 level suggests there could be a floor forming, providing potential for stabilization or a bounce back if macro conditions improve or if institutional demand re-emerges.
As always in volatile crypto markets, traders should keep a close eye on volume trends, technical levels, and global economic news to navigate XRP’s next moves.
Shaurya Malwa is Co-Leader of CoinDesk’s Tokens and Data team in Asia, focusing on crypto derivatives, DeFi, and market microstructure analysis.
This article is based on data provided by CoinDesk Analytics and relevant market sources as of August 3, 2025.