XRP falls 5% as bitcoin’s sudden pump and dump rattles crypto markets

XRP slid sharply on Wednesday, breaking below the $1.92 support zone as elevated selling pressure collided with violent cross-asset volatility during U.S. trading hours.

The move came amid abrupt reversals in bitcoin, U.S. equities and AI-linked stocks, leaving altcoins exposed as liquidity thinned and derivatives positioning reset.

News Background

• Crypto markets saw violent whipsaw action in early U.S. trade, with bitcoin briefly ripping from $87,000 to above $90,000 before snapping back to the $87,000 area
• The reversal coincided with sharp losses in AI-linked equities, including Nvidia, Broadcom and Oracle falling 3%–6%, dragging the Nasdaq down more than 1%
• Sentiment weakened after reports that Blue Owl Capital pulled out of funding a $10 billion Oracle data-center project, pressuring risk assets tied to AI infrastructure.
• The sudden swings triggered over $190 million in crypto liquidations in four hours, with $72 million in longs and $121 million in shorts flushed out, according to CoinGlass.
• XRP underperformed the broader market slightly as derivatives-driven flows hit mid-beta altcoins harder during the volatility spike.

Technical Analysis

• Support:Immediate: $1.90, now the first line of defenseSecondary: $1.75–$1.64, deeper liquidity zone if $1.90 fails
• Resistance:Near-term: $1.94–$1.99, former support turned supplyPsychological: $2.00, now firmly rejected
• Volume Structure:Rejection near $1.9885 printed the session’s highest volumeElevated activity confirms distribution, not passive sellingNo evidence yet of seller exhaustion
• Trend Structure:Breakdown below key Fibonacci retracement shifts structure bearishLower highs formed before the rejection, signaling momentum decayConsolidation resolved to the downside
• Momentum Check: Failed squeeze above $2.00 acted as a bull trapPrice acceptance below $1.94 keeps downside bias intact.

What Traders Are Watching

• Whether $1.90 holds — a clean break exposes $1.75–$1.64 quickly.
• Reaction if price retests $1.94–$1.99 — rejection there confirms trend continuation.
• Whether macro volatility eases or continues to force cross-asset deleveraging.
• Derivatives positioning after $190 million in liquidations — direction depends on who reloads first.
• XRP’s relative performance vs BTC if bitcoin stabilizes near $87,000