The October 10 crypto crash, which wiped out nearly $20 billion in leveraged positions, shocked crypto market investors. XRP (CRYPTO: XRP) was hit hard by a 60% slowdown, which affected its momentum and disrupted short-term trends.
However, the price of XRP has entered a recovery phase, fueled by Ripple’s ongoing institutional expansion. As sentiment slowly recovers, investors are asking a crucial question: Is XRP still worth buying after the crash? Let’s find out.
Before the crypto flash crash, XRP price was hovering around $2.45 and $2.80, showing a slight uptrend that reflected community confidence. XRP gained momentum with reports that ETF spot approval could attract between $3 billion and $8 billion in inflows. Institutional confidence supported the move as Wall Street analysts pointed to the new XRP benchmark price index as a signal that institutional whales view XRP as a legitimate investment option. This news sparked optimism in the broader crypto market, with XRP predictions pointing to a rise to $4.
Ripple’s partnership with Bahrain Fintech Bay to provide digital asset custody and expand the reach of the RLUSD stablecoin in the Middle East has added to this momentum. The deal marked a strategic move as liquidity increased and XRP’s daily trading volumes averaged $170 million, with the crypto hitting $2.95 in early October.
XRP’s rally stalled after the crash. While many leveraged positions saw strong liquidations, XRP was not far behind, seeing a 60% decline from its local highs to trade at $1.25. This slowdown temporarily removed all the bullish optimism created by the news of XRP’s ETF approval and tested its long-term support levels. However, despite the economic slowdown, this proved to be strategic timing for some investors as whales known for buying the dip acquired XRP heavily around the $1.30 to $1.50 area.
After the crash, the price of XRP recovered faster than most cryptos. The crypto has regained a price of around $2.60 and is trading above short-term moving averages. XRP’s powerful rebound has been attributed to strategic moves by the Ripple network, such as the recent acquisition of Hidden Road for $1.25 billion and the creation of Ripple Prime, a unified institutional platform. When combined with the latest crypto news from the CME launching XRP options and the XRP Ledger supporting tokenized credit issuance in Brazil, it’s clear that XRP’s post-crash performance is fueled by fundamentals rather than hype.
