Key Takeaways
- Whale selling pressure is keeping XRP’s price down despite strong fundamentals and increasing institutional interest.
- XRP’s long-term potential remains intact, driven by XRPL’s scalability and RLUSD’s real-world utility.
- Selling XRP at $2 could lead to missed opportunities as Ripple’s infrastructure and partnerships grow.
Despite strong fundamentals and increasing institutional interest, XRP’s price has recently fallen below $2. The significant price dip, driven by whale selling, has confused many market participants who expected the asset to maintain its bullish momentum.
XRP’s growing ecosystem, bolstered by XRP Ledger (XRPL) and Ripple’s RLUSD stablecoin, indicates that the asset’s long-term potential remains strong.
Why XRP’s Price Struggles Amid Record Activity
XRP’s current price troubles come despite the network’s robust activity. In June 2025, XRP Ledger processed over 5.1 million transactions in 24 hours, showing significant real-world use.
The market also saw the success of RLUSD, which surpassed $1 billion in market capitalization just a year after its launch. Ripple’s growing influence in institutional funding, including raising USD 500 million in a funding round, supports XRP’s position in the financial ecosystem. These fundamentals suggest that XRP is not just a speculative asset but a crucial player in the evolving landscape of decentralized finance.
However, despite these positive signs, XRP’s price has struggled to recover. CryptoQuant data indicates that large XRP holders used recent rallies to sell at higher prices, leading to a supply glut.
The consistent flow of XRP from whale wallets to exchanges, particularly Binance, signals that many investors are capitalizing on the rally to exit at a profit. This has created a “sell the news” setup, overwhelming demand, and pushing the price down.
Whale Selling: A Key Factor in XRP’s Price Volatility
Whale selling has been identified as a major contributor to XRP’s recent price decline. According to market analyst CryptoOnchain, whale deposits into exchanges increased sharply from late 2024 to 2025, coinciding with Ripple’s capital raise. This “distribution phase” was strategically timed with Ripple’s latest funding news, providing liquidity for whales to exit their positions at elevated prices.
As XRP’s price dropped below key support levels of $2.40 and $2.09, the market saw widespread selling pressure. The broader crypto market’s downturn, including Bitcoin’s drop below $100,000 and Ethereum’s struggle under $3,200, also played a role in the decline. XRP has fallen nearly 22% in the past month, underperforming the broader market, which saw a smaller 5% decline.
Despite this short-term weakness, experts still point to XRP’s long-term potential. Ripple’s acquisition of crypto custody firm Palisade and collaborations with traditional financial institutions underscore its growing adoption. Furthermore, XRP is poised to benefit from a potential spot XRP ETF launch, with firms like Franklin Templeton and Bitwise revising their filings for approval.
While XRP faces downward pressure in the short term, its fundamentals remain strong. The XRP Ledger’s scalability and reliability, combined with RLUSD’s enterprise-grade utility, position XRP as a critical asset in the evolving landscape of decentralized finance. However, until the selling pressure from large holders subsides, XRP’s price may remain suppressed.
