XRP maintained its footing at $2.84 following a brief yet sharp pullback, underscoring market volatility as speculation surrounding potential ETF approvals continues to grow.

Institutional Selling Emerges After Resistance Rejection

On September 5, XRP dropped 4% from $2.88 to $2.84 after a rejection at the key $2.88–$2.89 resistance level. Though prices briefly touched an intraday high of $2.89, selling pressure—largely attributed to institutional activity—quickly reversed gains.

This price action marks a crucial turning point. Traders are now watching whether XRP’s ongoing consolidation phase will break higher, especially as large-scale investors battle against longer-term technical levels.

ETF Developments Fueling Sentiment

Market excitement is building as six major asset managers, including Grayscale and Bitwise, await decisions from the SEC on their filed applications for spot XRP ETFs. Expectations are centered on October as the regulatory agency’s key deadline looms.

Ripple’s recent legal settlement with the SEC has provided more clarity about XRP’s legal status, boosting confidence within the industry. Analysts now estimate an 87% probability that at least one ETF gets approved, which could be a strong catalyst for price momentum.

Intense Volume Marks Key Trading Windows

XRP’s trading volume during the 12:00 UTC hour spiked to 227.75 million—nearly four times the 24-hour norm of 58.40 million. The largest movement occurred between 13:26 and 14:25, when XRP fell 4% in just 60 minutes, slipping from $2.88 to $2.84 on 10.6 million in trading volume. During this drop, XRP broke through intraday supports at $2.86 and $2.85.

Despite this decline, XRP closed the trading session at $2.84, holding just above its primary support near $2.77.

Technical Setup: Consolidation with Breakout Potential

The $2.88–$2.89 range has been confirmed as near-term resistance, demonstrated by several unsuccessful breakout attempts. Current support levels stand around $2.84–$2.85, with stronger foundational backing at $2.77.

Technical analysts point to a 47-day consolidation zone that mirrors XRP’s 2017 formation—an event that preceded a major rally. If this structure resolves to the upside, optimistic price targets ranging between $4.63 and $13 are being floated by some chart analysts.

Momentum indicators are displaying a neutral stance; the Relative Strength Index (RSI) hovers in the mid-50s and the MACD histogram is approaching a bullish crossover.

This chart illustrates XRP’s failed breakout at $2.89 and the resulting volume spike, signaling strong institutional action.

Key Levels and Upcoming Catalysts

As XRP maintains a stable floor at $2.84, traders are keeping a close watch on several critical developments:

Related: XRP Price: $12M Max Pain for Bears

• Whether support at $2.77 can hold throughout September
• The SEC’s October decisions on the pending spot XRP ETFs
• Continued whale accumulation—recent data indicates large holders added over 340 million XRP tokens
• Potential breakout above $3.30, a major threshold that could signal a run toward $4 and higher

Though short-term distribution is causing some downward pressure, bullish sentiment remains intact overall, especially if the market sees favorable news from regulators.