XRP Crashes 16% to $1.29: Worst Hit in Crypto Selloff as Institutions Quietly Accumulate

Picture this: the crypto market hits a wall, and XRP takes the hardest fall. Down over 16% to $1.29 in a single day, it outpaced the downside of Bitcoin and Ether in a savage selloff. Massive leverage got wiped out—think $775 million across the board—leaving retail shaking. But here's the twist drawing eyes on X: while prices tanked, signs point to big players scooping up the dip like it's prime real estate.

The carnage kicked off amid 'Black Monday' echoes and a hawkish Fed chair nomination that spooked markets. XRP didn't just dip; it cratered nearly 24% from highs around $1.84 to lows near $1.37, fueling a frenzy of liquidations. This wasn't random—overleveraged positions amplified the slide, turning a risk-off mood into a full reset. Yet, beneath the blood, structure emerged. Spot XRP exchange-traded funds pulled in 12.6 million tokens net this week, a clear vote of confidence from institutions treating these levels as a fire sale. Ripple's regulatory wins stack up too: a full EU electronic money institution license and UK registration pave the way for real-world cross-border use. Even Bank of America dipped into Ripple ETF shares, shifting XRP from courtroom drama to settlement powerhouse. Fast forward hours later, and XRP staged a sharp 10% reversal, buyers rushing in as fear peaked. On-chain moves show exchange balances dropping, a classic accumulation signal. This brutal flush purged weak hands, setting an institutional floor in extreme fear territory.

The ripple effects hit hard. Bitcoin shed 7%, but XRP's outsized drop stole the spotlight, with $46 million in its derivatives alone vaporized. Total crypto liquidations topped $775 million, squeezing shorts and longs alike. Sentiment plunged into fear, yet XRP's pain highlighted broader deleveraging—clearing decks for what's next. Majors like Ether followed suit, but XRP's velocity drew traders debating if this was capitulation or opportunity.

XRP's plunge looks ugly short-term, but peel back the layers and it's a calculated reset. Institutions aren't flinching; they're building positions amid the chaos. With regulatory green lights and ETF hunger, this dip could mark the launchpad for XRP's next surge. Eyes on $1.50 resistance—break it, and the bulls reclaim the narrative. Buckle up; the real move might just be brewing. Sources: @thedailyblock, @SeniorDeFi, @XrpArab