XRP Plummets 9% Despite Major Ripple Announcements: What’s Behind the Crash?
- Why Did XRP Crash Despite Ripple’s Big Wins?
- The $500M Elephant in the Room: Is Ripple’s Valuation Smoke and Mirrors?
- Technical Doom: How the "Death Cross" Sealed XRP’s Fate
- Investor Psychology: When Good News Isn’t Good Enough
- Ripple’s XRP Paradox: Asset or Liability?
- Market Realities: Altcoins Aren’t Created Equal
- What’s Next for XRP Holders?
- XRP By the Numbers (Nov 2025)
- XRP Crash: Your Questions Answered
In a surprising twist, XRP has nosedived 9% this week despite Ripple’s high-profile announcements at the Swell summit, including partnerships with Mastercard and a $500M funding round. Glassnode data reveals a 240% spike in profit-taking, while technical indicators flash bearish signals like a "death cross." Here’s why investors are fleeing—and what it means for Ripple’s $40B valuation.

Why Did XRP Crash Despite Ripple’s Big Wins?
Ripple’s Swell summit should’ve been a victory lap: Mastercard partnerships, Palisade acquisitions, and $500M raised from heavyweights like Citadel Securities. Yet XRP dropped from $3.09 to $2.30 (-25%) since late September. Glassnode’s data exposes the irony—daily profit-taking surged from $65M to $220M (+240%) during the decline. "This isn’t normal sell-side behavior," notes a BTCC analyst. "It’s panic masquerading as profit-taking."
The $500M Elephant in the Room: Is Ripple’s Valuation Smoke and Mirrors?
Ripple’s $40B valuation hinges on its 34.76B XRP stash (worth ~$80B). But critics argue its core tech generates just $200K monthly in fees. "You’re buying access to a token vault, not a tech firm," an unnamed investor told Unchained. Even Nasdaq’s Swell presence couldn’t offset skepticism—especially after Ripple quietly shelved IPO plans post-SEC win.
Technical Doom: How the "Death Cross" Sealed XRP’s Fate
Charts paint a grim picture: XRP’s 50-day MA sank below its 200-day MA—a classic "death cross." The RSI languishes near 40, and $2.50 resistance held firm. "This isn’t a dip; it’s a regime change," warns TradingView data. Meanwhile, bitcoin ETFs bled $578M on Nov 4, though Solana (+$421M inflows) stole XRP’s thunder.
Investor Psychology: When Good News Isn’t Good Enough
Ripple’s announcements felt like "pep talks during a hurricane," quips a crypto Twitter regular. The 240% profit-taking spike suggests fading faith—even RLUSD stablecoin plans couldn’t stem exits. "Institutions want deliverables, not press releases," argues the BTCC team, citing CoinMarketCap’s lukewarm XRP volume trends.
Ripple’s XRP Paradox: Asset or Liability?
Ripple’s XRP hoard is both its crown and millstone. While the $500M raise impressed, Unchained’s report questions if investors backed "a company or a token ETF." With 80% of Ripple’s value tied to XRP, any price slump directly hits its $40B valuation math.
Market Realities: Altcoins Aren’t Created Equal
XRP’s $43.2M inflows pale next to Solana’s $421M. The discrepancy highlights a market pivot toward utility chains. "XRP’s banking narrative feels 2017-ish," admits a Galaxy Digital trader. Even Ethereum’s $57M inflows—modest by comparison—underscore shifting priorities.
What’s Next for XRP Holders?
With the death cross confirming bearish momentum, $2.00 looks inevitable unless Ripple delivers tangible adoption. The BTCC team advises caution: "Watch the $2.30 support—if it breaks, brace for impact." Meanwhile, Ripple’s abandoned IPO plans whisper louder than any Swell keynote.
XRP By the Numbers (Nov 2025)
- Price: $2.31 (-9% weekly)
- Profit-taking volume: +240% (Glassnode)
- Ripple funding: $500M at $40B valuation
- Institutional inflows: $43.2M
- Death cross: Confirmed (TradingView)
XRP Crash: Your Questions Answered
Why did XRP drop despite Ripple’s announcements?
Profit-taking spiked 240% as investors doubted Ripple’s ability to convert partnerships into revenue. Technical triggers like the death cross exacerbated selling.
Is Ripple’s $40B valuation justified?
Debatable. With 80% tied to XRP’s volatile price and minimal fee income, some argue it’s a "token play" disguised as a tech firm.
What’s the death cross mean for XRP?
It signals prolonged bearish momentum—historically, prices drop further after this 50/200-day MA crossover.