XRP Plunges 20% - But $500M Corporate Buying Spree Could Trigger Epic Rebound

XRP investors just got whiplash as the digital asset nosedived 20% in brutal market action. The sudden drop left holders reeling - but corporate whales might be circling for the kill.

The Silver Lining Playbook

While retail traders panic-sell, institutional players are preparing to deploy half a billion dollars in planned corporate purchases. That's right - $500 million waiting in the wings while weak hands fold.

Market Mechanics Favor the Bold

This isn't just hopium. Basic supply and demand dynamics suggest massive corporate buying could absorb available liquidity faster than you can say 'market manipulation.' When big money moves, price discovery becomes less about fundamentals and more about who's holding the bigger bag.

Because nothing says 'sound investment' like institutions buying the dip after they helped create it in the first place.

XRP price is currently down and is trading below $2.50. However, XRP faces two main factors that could shape its price over the next 12 months: possible ETF approval and growing corporate interest in holding XRP.

ETF Approval Could Bring More Liquidity

Analyst crypto Sensei said the market is awaiting for spot XRP ETFs. Approval could increase buying activity.

XRP has low liquidity on exchanges. Small inflows or outflows can change the market cap by 50 to 100 times. Retail investors own around $2 billion XRP. Ripple holds $35 billion in escrow and another $5 to $7 billion for on-demand liquidity. Most of the supply is held by institutions.

Sensei said large inflows could reduce price swings. Investors should not expect extreme price jumps. The market could grow steadily once liquidity increases.

Companies Are Adding XRP to Treasuries

Several companies are buying XRP for their balance sheets. Reliance Global bought $17 million in September. Gumi in Japan added $13.5 million. Vivo Power purchased $100 million through BitGo. Other companies, including Trident Digital Tech and Webus, have made large acquisitions. Smaller firms like Nature’s Miracle and Hyperscale Data also added XRP.

Sensei said banks and financial institutions have not yet joined in. Once regulation is clear, more companies could start holding XRP. Limited supply and growing demand could influence the price.

“We haven’t seen major banks or financial institutions make these moves yet,” he said. “Once regulation is clear and companies feel confident, this could create a real supply problem. That’s when things could get interesting.”

The Next Phase: From Early Adoption to Global Integration

The analyst also said that many of these companies are not building decentralized applications or new networks. Instead, they are holding XRP as a treasury asset to strengthen their balance sheets and attract investors — similar to how Bitcoin was used by early corporate treasuries.

He compared the current phase of XRP adoption to the early stages of ethereum and Bitcoin corporate investments. “If we start seeing this pattern spread globally, XRP could become a common asset for company reserves,” he said. “And that kind of adoption can quietly build momentum behind the scenes.”