XRP Faces Brutal October Squeeze as Retail Traders Lock In Losses
Key Summary
XRP's price has plummeted to the $1.30-$1.60 range, exposing a split in the market between retail traders and large funds. Retail traders are locking in losses, while institutional players are betting on a strong infrastructure backdrop and historical cycles. The current plunge has been triggered by macroeconomic data from the US, which has forced investors to rewrite their forecasts and price in a 64% probability of a Fed rate hike at the end of the month.
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Market Analysis
The XRP market has been hit with a brutal squeeze in October, with the token's price plummeting to the $1.30-$1.60 range. This has exposed a split in the market between retail traders and large funds.
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Key Liquidity Pools
Technical analysis of the hourly chart shows that the drop has brought the price straight to a strong support zone. It is precisely in the $1.30-$1.60 range that the key liquidity pools and order blocks are concentrated, where sellers have run into a dense wall of liquidity.
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Institutional Players
Institutional players completely ignored the current depression in the market, betting on a strong infrastructure backdrop and historical cycles. They are counting on repeating the November 2024 scenario, when, after similar pressure, the token delivered a parabolic surge.
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Fed Rate Decision and Swell Conference
The final denouement of this standoff will come at the end of the month. The main triggers that will determine whether XRP can reverse the current brutal trend and launch the expected November rally will be the Fed's rate decision and Ripple's annual Swell conference in New York, starting on October 27.