XRP’s Remarkable Resilience: From 75% Plunge to Strong Rebound Signals Institutional Confidence
On October 13, 2025, the cryptocurrency market witnessed an unprecedented liquidation event triggered by new tariff policies from former US President Donald Trump, resulting in nearly $20 billion in leveraged positions being wiped out within a single hour. The total market capitalization briefly plummeted by $900 billion, with altcoins suffering the most severe impacts. XRP experienced a dramatic 75% decline, falling to $0.78, before demonstrating extraordinary resilience by rebounding sharply to $2.35. This rapid recovery, occurring amidst massive market turmoil, strongly indicates substantial institutional buying activity and suggests underlying strength in XRP's market fundamentals. The swift bounce-back from such extreme price pressure highlights growing institutional confidence in digital assets despite macroeconomic headwinds. Market analysts are closely monitoring this pattern as it may signal a new phase of maturity for cryptocurrency markets, where established digital assets like XRP can withstand significant external shocks and recover quickly based on their inherent utility and adoption prospects. The event also underscores the evolving nature of cryptocurrency market dynamics, where institutional participation appears to be creating stronger support levels even during periods of extreme volatility. This development could mark a turning point in how traditional financial entities perceive and engage with major cryptocurrencies, potentially paving the way for more stable long-term growth trajectories despite short-term political and economic uncertainties affecting global markets.
XRP Price Rebounds Sharply After Crypto Market Liquidation Event
The cryptocurrency market experienced its largest liquidation event in history following US President Donald Trump's new tariffs on China. Nearly $20 billion in leveraged positions were wiped out within an hour, with the total market cap briefly plunging $900 billion.
Altcoins bore the brunt of the sell-off, with XRP plummeting 75% to $0.78 before recovering to $2.35. The swift rebound suggests strong institutional buying, as evidenced by spot XRP ETF filings and bullish technical patterns.
Seasoned analysts remain unfazed by the volatility. "This is just a minor reaction in the bigger theme of things," noted Peter Brandt, a veteran commodities trader. The market's resilience mirrors historical patterns where tariff-related dips have presented prime buying opportunities.
XRP Faces Volatility Amid Corporate Adoption and ETF Speculation
XRP's price has dipped below $2.50, marking a 20% decline, yet corporate treasury purchases totaling $500 million signal underlying demand. Institutional accumulation—including Reliance Global's $17 million buy and Vivo Power's $100 million BitGo custody deal—contrasts with retail investors' $2 billion holdings. Ripple's $35 billion escrow and $5-$7 billion liquidity reserve further tighten circulating supply.
Market liquidity remains fragile, where minor inflows could amplify capitalization swings 50-100x. Analyst crypto Sensei notes spot ETF approval would stabilize volatility, though dramatic price surges appear unlikely. "The market matures when institutional participation deepens," he observes, highlighting banks' regulatory hesitancy as the next adoption frontier.
XRP and Remittix Emerge as Standouts Amid Crypto Market Turbulence
Global cryptocurrency markets faced heavy selling pressure following former U.S. President Donald Trump's proposal for 100% tariffs on Chinese tech imports, sparking fears of renewed trade tensions. XRP plunged 14% to $2.44, mirroring broad-based declines across digital assets.
Despite the downturn, analysts highlight XRP's resilient fundamentals in cross-border payments through Ripple's institutional partnerships. Technical support appears firm NEAR $2.30, with liquidity likely to fuel a rapid rebound when market sentiment stabilizes.
Remittix (RTX) gains attention as a potential hedge, with its PayFi infrastructure positioning it for growth in the remittance sector. Market participants anticipate both tokens could lead the recovery as the payment-focused crypto segment regains momentum.
21Shares Files for CME-Linked XRP ETF Amid Crypto Market Turmoil
The race to launch the first spot XRP ETF intensifies as major asset managers including 21Shares, Bitwise, and Grayscale submit amended filings to the SEC. 21Shares' proposal tracks XRP's price using the CME CF XRP-Dollar Reference Rate, a benchmark favored by institutional investors.
The fund will custody XRP with Coinbase and list on Cboe BZX Exchange, offering mainstream investors exposure through traditional brokerage accounts. Unlike active ETFs, the product will employ a passive strategy without leverage or derivatives.
Regulatory tailwinds may accelerate approval timelines. Recent SEC rule changes streamline ETF listings, potentially benefiting crypto products. However, filings explicitly warn investors about the absence of FDIC insurance and heightened volatility risks.
