Why is XRP Price Down Today, October 8, 2025: Analysis & Prediction

The crypto market is once again facing turbulence, and this time, XRP is in the spotlight. As of October 8, 2025, XRP’s price has fallen to $2.85, marking a 4.7% daily decline. 

With its market cap standing at around $170.82 billion, XRP remains a top-5 cryptocurrency, but traders are wondering what’s behind the recent pullback.

Let’s break down the key reasons why XRP’s price is down today (October 8, 2025), based on technical indicators, regulatory updates, and broader market sentiment.

XRP Price Today (October 8, 2025)

Source: Coinmarketcap

As of today (October 8, 2025), XRP price is trading at $2.85, marking a 4.7% decline in the last 24 hours. This drop follows a sharp technical breakdown below the $2.90 support zone, which triggered a wave of stop-loss orders and long liquidations. 

Despite holding a strong market capitalization of $170.82 billion, XRP has faced growing selling pressure as traders respond to both technical weakness and broader crypto market volatility. 

The 24-hour trading volume of $7.41 billion shows that while demand remains active, much of it stems from short-term traders adjusting their positions amid uncertainty.

Read Also: These Analysis States XRP Will Reach $5! Is It True?

Why is XRP Price Down Today: Technical Breakdown

The most immediate factor behind XRP price’s drop is a technical breakdown below a key support zone between $2.92 and $2.90. This zone had held firm since late September, but on October 8, XRP decisively broke below it. 

The move triggered a cascade of stop-loss orders and liquidated over $500 million in long positions. Currently, XRP price is trading near $2.85, approaching the 78.6% Fibonacci retracement level at $2.81, a critical area to watch for potential short-term support.

From a technical perspective, this breakdown also invalidated the ascending triangle pattern that had formed since August, a structure that previously hinted at a possible bullish continuation. Unfortunately, that scenario no longer holds true.

The Relative Strength Index (RSI) on the hourly chart sits around 38.68, suggesting that XRP is entering oversold territory. However, the MACD indicator remains bearish, showing no strong signs of a reversal yet.

Key Technical Levels:

- Support: $2.81 (Fibonacci retracement), $2.70–$2.60 (historical zone from July 2025)

- Resistance: $2.92, then $3.00 psychological level

If XRP price closes below $2.85, the next downside target could be $2.70, with deeper support near $2.60, levels last defended in mid-2025.

Read Also: Should I Buy XRP Now? Price Outlook and Investor Insights

XRP Price Analysis: Banking Charter Scrutiny

Beyond the charts, regulatory uncertainty has also weighed on sentiment. Ripple’s much-anticipated application for a U.S. national banking charter has come under scrutiny ahead of the October 7 OCC (Office of the Comptroller of the Currency) review deadline.

This application is crucial because approval would enable Ripple to operate as a licensed banking entity, potentially boosting institutional confidence and facilitating the rollout of its RLUSD stablecoin.

However, the ongoing regulatory review has created uncertainty among investors, leading some to reduce their exposure. Data shows XRP reserves increased by 19% this week, suggesting that short-term holders are transferring tokens to exchanges, often a sign of selling pressure.

If Ripple receives approval, the narrative could quickly shift bullish, likely restoring investor confidence. But if the process is delayed or rejected, Ripple may face setbacks in expanding its banking and stablecoin operations, extending the current downtrend.

Read Also: A Complete Guide to How to Buy XRP (XRP) on Bitrue

XRP Price Analysis: Macro Market Pressures

Source: Shutterstock

XRP’s decline isn’t happening in isolation. Broader crypto market weakness has amplified the sell-off. Bitcoin fell by 4.9% to around $121,200, while Ethereum dropped by 5%, pulling most altcoins lower.

The derivatives market also reflects a cautious tone, with open interest down 1.49% as traders unwind leveraged positions. The Altcoin Season Index slipped 11.29% this week, showing a clear rotation of capital back to Bitcoin, a common pattern when risk appetite falls.

Meanwhile, XRP’s 24-hour turnover ratio sits at 0.0434, signaling moderate liquidity stress compared to other top-10 cryptos. This suggests that while selling pressure is notable, the market is not yet in panic mode.

Read Also: XRP vs XMR Price Comparison: Which Has More Potential in 2025?

XRP Price Prediction (Short, Mid, Long)

Based on technical data and current market sentiment, here’s an XRP price prediction (short, mid, and long-term performance):

1. Short-Term (1–2 weeks): Bearish to Neutral

XRP may retest the $2.81–$2.70 zone before stabilizing. A bounce could occur if RSI continues signaling oversold conditions, but unless it reclaims $2.92, momentum remains weak.

2. Mid-Term (1–3 months): Cautious Recovery

If Ripple’s banking license receives approval and Bitcoin stabilizes, XRP could gradually recover toward the $3.10–$3.20 range. However, persistent regulatory delays could cap gains below $3.00.

3. Long-Term (6–12 months): Bullish Outlook

Fundamentally, Ripple continues to strengthen its real-world payment integrations and enterprise partnerships. Should the macro environment improve and institutional adoption rise, XRP has potential to revisit $3.80–$4.00 levels seen earlier in 2025.

Read Also: XRP Prediction: Ripple (XRP) Price Forecasts for 2025-2050

Conclusion

XRP price drop to $2.85 on October 8, 2025, stems from a mix of technical breakdowns, regulatory uncertainty, and broader market weakness. While short-term sentiment leans bearish, oversold conditions hint that a temporary rebound could follow once selling pressure eases.

The outcome of Ripple’s banking charter review remains a pivotal event that could reshape the token’s mid-term trajectory. For now, traders should watch the $2.81–$2.70 support range closely, as a decisive break below may extend the correction.

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FAQ

Why is XRP price down today, October 8, 2025?

XRP fell due to a technical breakdown below the $2.90 support zone, coupled with regulatory uncertainty around Ripple’s banking license and general crypto market weakness.

What is the current XRP price?

As of October 8, 2025, XRP price is trading around $2.85, down 4.7% over the last 24 hours.

What key level should traders watch?

Watch for $2.81 (Fibonacci retracement) and $2.70–$2.60 as critical support zones. A break below could extend losses.

Could Ripple’s banking license affect XRP’s price?

Yes. Approval could drive institutional demand and boost sentiment, while rejection or delays might prolong bearish pressure.

What’s the long-term outlook for XRP?

If regulatory clarity improves and Ripple expands its global partnerships, XRP could recover toward $4.00 within the next year.