XRP price dipped to a key support level on the Murray Math Lines on Monday, September 1, after Ripple unlocked additional tokens. Market sentiment remains neutral, with traders watching for possible rebounds.
Key Takeaways
- XRP price fell to an important Murray Math pivot level.
- Ripple Labs has released 1 billion XRP tokens from escrow.
- Technical indicators suggest more downside may occur before a rebound.
XRP Price Movement
XRP dropped to $2.7345, its lowest level since July 11, and about 25% below this year’s high. Its market capitalization also decreased to $164 billion from the year-to-date peak of $201 billion.
Ripple Unlocks Tokens
The price pullback followed large token unlocks by Ripple Labs. According to Whale Alert, 1 billion XRP tokens were released from escrow, while additional tokens were locked in separate transactions.
These activities are part of Ripple’s standard operations. Ripple initially placed 55 billion XRP into escrow and continues to release 1 billion tokens each month, with any unused tokens returned to escrow. Usually, between 600 and 900 million XRP are relocked during each cycle, so the overall increase in circulating supply remains relatively modest.
Market Metrics for XRP
XRP price has been affected by mixed signals. On the positive side, total supply reached $702 million, rising 16% over the past 30 days.On the downside, the number of RLUSD stablecoin addresses declined 35% to 4,600, transactions fell 42% to 410,000, and transaction volume dropped 74% to $2.6 billion. Interestingly, only $90 of RLUSD supply is currently recorded on the XRP Ledger.
Looking forward, the October SEC deadline for ETF approvals could drive XRP price movement. Investor anticipation of approvals may trigger a rebound, with approval odds currently over 80%.
XRP Price Technical Analysis
On the daily chart, XRP price has fallen from the year-to-date high of $3.6598 to $2.73. This aligns with a strong pivot/reversal level on the Murrey Math Lines, a point where price reversals often occur.
The Relative Strength Index (RSI) sits at 44, indicating XRP is not yet oversold. The most likely scenario is a continued decline toward ultimate support at $2.3438, followed by a potential rebound. If bullish momentum returns, XRP could target higher levels in the near future.
