XRP's $1.93B Capitulation: Echoes of Past Bottoms Amid Institutional Surge

XRP has recorded a staggering $1.93 billion in weekly realized losses, the largest capitulation since the FTX collapse, as prices dipped sharply. Yet, contrasting this retail shakeout, institutional adoption accelerates with SBI's ¥10 billion XRP bond and a new bank-focused DEX on XRP Ledger. Ledger transactions spiked 40%, hinting at underlying strength beneath the surface pain.

On-chain data reveals extreme selling pressure, with realized losses hitting levels last seen 39 months ago during a similar -$1.93 billion spike that preceded a 114% price rally over eight months, according to Santiment and TradingView analyses. Pawnie's 48-hour Web3 recap on X pinpointed this as the biggest capitulation post-FTX, amid broader market fear with the Greed Index at 6/100. GroveXchange noted XRP Ledger's launch of a permissioned DEX for banks, exemplified by Société Générale's Euro stablecoin issuance, even as spot prices fell 4%. CryptoSlate and Yahoo Finance contextualize this as a potential reset phase, with historical precedents signaling bottoms where weak hands exit before recovery. SBI Holdings' ¥10 billion ($64.5 million) on-chain bond, rewarding investors with XRP, underscores TradFi integration. Coinpedia and Crypto.news highlight ledger activity up 40%, with whales accumulating amid retail capitulation. Binance Square posts frame it as late-stage selloff exhaustion, setting up rebound potential. This dichotomy—retail losses versus institutional inflows—mirrors patterns before major XRP upswings, bolstered by regulatory tailwinds like SEC stablecoin haircuts.

For the XRP community, this capitulation signals a classic bottom, positioning recovery as institutions like SBI deepen ties. Increased DEX usage and transaction volumes suggest real utility growth, potentially driving price higher post-purge. Traders eyeing historical parallels could see substantial gains ahead.

XRP's massive losses mask brewing recovery catalysts from TradFi adoption. As capitulation clears the deck, expect renewed momentum. The XRP army's resilience may soon pay off in a powerful rebound.

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