XRP (XRP) Slips Below $1.40 as Small Investors Buy While Major Holders Wait on SEC Ruling

Key Highlights

• XRP declined 3.52% to approximately $1.40 amid a broader cryptocurrency market pullback of roughly 2%
• March 27 represents the SEC’s crucial deadline for deciding on several spot XRP ETF proposals
• Small wallets containing fewer than 100 XRP reached an all-time high of 5.66 million
• Large holder wallets with over 100,000 XRP stayed unchanged at 32,054, indicating major investors aren’t accumulating during this decline
• XRP futures Open Interest contracted by more than 5% to $2.33 billion, reflecting waning trader enthusiasm

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XRP faces downward momentum as the critical March 27 SEC spot ETF decision date draws closer. While smaller investors seem to be accumulating during this price weakness, major holder behavior remains subdued and exchange balances continue climbing — a combination that suggests near-term uncertainty.

[[IMG_6]]XRP Price

The overall cryptocurrency market has shed approximately 2% in total market value, currently standing at $2.36 trillion. Bitcoin has remained trapped below the $70,000 threshold throughout this period.

XRP experienced a 3.52% weekend decline, settling around the $1.40 mark. The digital asset couldn’t maintain its position above the $1.45 resistance barrier, with selling momentum driving it beneath the $1.40 support threshold.

From a technical perspective, the MACD histogram continues displaying bearish characteristics. The signal line has dropped beneath the MACD line, validating the ongoing downward momentum in the immediate timeframe.

Critical support sits around $1.38. Should this level fail to hold, market participants are eyeing the $1.35 zone as the subsequent support floor. A recovery above $1.45 would be required to alter market sentiment, while breaking through $1.50 would create opportunities toward the $1.55 resistance threshold.

March 27: SEC’s Critical ETF Ruling Date

The SEC must render its decision by March 27 on multiple pending XRP spot ETF filings. Companies awaiting regulatory verdicts include Grayscale, 21Shares, Bitwise, Canary Capital, WisdomTree, and Franklin Templeton.

Grayscale seeks to transform its $2.1 billion XRP trust into a spot ETF product. Franklin Templeton has submitted a competitive 0.15% fee structure. Bloomberg intelligence analysts currently estimate a 95% probability of at least one approval materializing before year-end.

U.S.-listed spot XRP investment products have accumulated $1.44 billion in assets, predominantly from individual investors. Market projections indicate institutional capital inflows could hit $8 billion following regulatory approvals, with pension programs and retirement portfolios anticipated as primary funding sources.

ProShares previously introduced a 2x leveraged XRP ETF on NYSE Arca in July 2025. Additionally, during March, the SEC and CFTC published a comprehensive 68-page regulatory structure, classifying XRP as a digital commodity alongside Bitcoin, Ethereum, Solana, Cardano, and Dogecoin.

Blockchain Metrics: Small Wallet Growth, Large Holder Stagnation

According to Santiment analytics, wallets containing under 100 XRP have climbed to a new record of 5.66 million. Addresses holding between 100 and 100,000 XRP similarly achieved a record at 2.01 million. However, wallets containing over 100,000 XRP have plateaued at 32,054, following a decline observed in early February.

This distribution pattern frequently indicates that smaller investors are providing liquidity for larger holders exiting positions.

Data from CryptoQuant reveals XRP holdings on Binance have increased to 2.79 billion XRP, up from 2.55 billion in early February. Growing exchange balances generally suggest heightened selling pressure.

According to CoinGlass metrics, XRP futures Open Interest currently stands at $2.33 billion, declining over 5% from the prior day’s $2.47 billion. Open Interest has experienced consistent contraction throughout most of 2026, suggesting diminished leveraged participation.

XRP currently trades approximately 25% below its year-to-date starting price.

The post XRP (XRP) Slips Below $1.40 as Small Investors Buy While Major Holders Wait on SEC Ruling appeared first on Blockonomi.

Source: https://blockonomi.com/xrp-xrp-slips-below-1-40-as-small-investors-buy-while-major-holders-wait-on-sec-ruling/