Upbit Triggers $50M Sell-Off—Can XRP Hold $1.40 Support?

▲ South Korean cryptocurrency exchange Upbit, XRP/ChatGPT-generated image ©

A staggering $11.6 billion in market capitalization evaporated in just one day, casting dark clouds over the XRP (Ripple) market. Investor anxiety is reaching a peak as a massive wave of selling pressure coincides with strong bearish signals emerging from technical charts.

According to cryptocurrency-focused media outlet Finbold on February 16 (local time), XRP’s market capitalization shrank from $101.0 billion to $89.31 billion, wiping out $11.6 billion within 24 hours. During the same period, the price plunged nearly 10%, failing to break above the $1.50 level and currently retreating to around $1.46.

This decline aligns with broader weakness across the cryptocurrency market, including Bitcoin (BTC) failing to hold the $70,000 level. Ahead of the release of Federal Reserve meeting minutes and inflation data, a wait-and-see sentiment has intensified. In particular, approximately $50 million worth of XRP was heavily sold on South Korea’s cryptocurrency exchange Upbit, serving as the direct trigger for the sharp drop. Confirmed as genuine sell orders rather than wash trading, the move completely derailed a recent recovery attempt that had been supported by declining supply on Binance.

From a technical analysis perspective, concerning signals are also flashing warnings of further downside. Cryptocurrency analyst Ali Martinez noted the formation of a Gravestone Doji candlestick pattern near the $1.50 level, indicating exhaustion of upward momentum. This pattern, which appears when strong intraday gains are erased by selling pressure and the price closes near its opening level, suggests that buyers have lost strength and sellers have regained control of the market.

Currently hovering around $1.46, XRP faces strong short-term resistance at the $1.50 level, while the $1.40 range is expected to act as primary support. If this key support level breaks down, the door could open to significantly greater losses. Conversely, only a decisive breakout above recent highs followed by price stabilization would invalidate the bearish signals and restore bullish momentum.

Disclaimer: This article is for investment reference only and we are not responsible for any investment losses incurred based on it. The information provided should be interpreted solely for informational purposes.