XRP Breaks Below 200-Day Moving Average as $1 Price Level Comes Into Focus
XRP fell to $1.19 on Friday after breaking below its 200-day moving average, putting the cryptocurrency at risk of further losses toward the $1 level. The decline followed a broader market sell-off linked to a reported $6.3 billion Binance security breach and renewed concerns over persistent inflation.
Although XRP staged a partial rebound after reaching its Friday low, the token remained below its 200-day moving average. The breakdown marks its first sustained move beneath the technical indicator since August 2026, increasing attention on the next major support level.
XRP Faces Increased Selling Pressure After Binance Security Breach
TradingView data shows that XRP briefly traded below its 200-day moving average during September and October. On those occasions, the cryptocurrency recovered above the indicator relatively quickly. The latest decline has been more persistent, with sellers maintaining pressure after the market downturn began on Thursday.
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| Source: TradingView |
XRP initially dropped to $1.22 following reports of the Binance security incident, which reportedly affected approximately $6.3 billion in customer assets, including nearly $300 million worth of XRP. Continued selling pushed the token down to $1.19 on Friday before buyers helped it recover part of its losses.
Broader economic uncertainty also weighed on cryptocurrency markets. Investors were assessing the Federal Reserve's latest monetary policy decision, which left its benchmark interest rate unchanged, alongside inflation data showing that price pressures remained elevated.
The personal consumption expenditures price index, a key inflation measure monitored by the Federal Reserve, rose 0.5% month over month and 3.6% year over year. Both figures underscored the persistence of inflation above the central bank's 2% target.
Could XRP Fall Toward $1 or $0.98?
With XRP struggling to reclaim its 200-day moving average, traders are watching the 50-week moving average for signs of whether the broader price structure can hold. The weekly indicator is now a key technical level as the cryptocurrency attempts to stabilize following its latest decline.
A sustained break below the 50-week moving average could expose XRP to further downside, with $1 emerging as an important psychological price level. If selling intensifies and buyers fail to defend nearby support, the price could potentially fall toward $0.98.
The outlook would be different if XRP manages to hold its weekly support. A successful defense of that level could leave room for a recovery, with $1.70 identified as a potential target if buying activity strengthens and the token regains lost ground. Both scenarios remain conditional on future price movements rather than confirmed outcomes.
Binance Allocates $6.34 Billion for Customer Asset Restoration
Binance has outlined measures to restore cryptocurrency holdings affected by the reported security breach. Exchange co-founder Yi He confirmed that the company allocated approximately $6.34 billion from its own funds to address losses involving affected customer assets.
The restoration measures cover multiple digital assets, including XRP and Ripple's RLUSD stablecoin, as well as other major cryptocurrencies. Binance reported that the assets had reached 100% reserve backing following its recovery measures.
The exchange's response comes as XRP continues to face market pressure associated with the incident. Whether the restoration effort helps stabilize sentiment across affected cryptocurrency markets remains an important question for traders.
US Employment Data Could Influence Crypto Market Sentiment
Investors are also watching the October nonfarm payrolls report, which the source article identifies as scheduled for Friday. Employment data could affect expectations for the Federal Reserve's future interest rate decisions and, in turn, influence sentiment across financial and cryptocurrency markets.
For XRP, the immediate focus remains on whether the token can defend its 50-week moving average and recover above its 200-day moving average. A failure to maintain weekly support could increase the risk of a move toward $1 or $0.98, while stronger buying activity could support a recovery toward $1.70.
Writer: Marcus RenfieldCrypto Market Analyst & Onchain WriterMarcus Renfield covers cryptocurrency markets with a focus on onchain data, Bitcoin price action, and emerging market narratives. His writing examines how capital flows, network activity, and broader market structure influence short- and medium-term trends.He aims to provide clear, data-informed analysis for readers seeking a deeper understanding of crypto market dynamics.