(SeaPRwire) – By: Lucas Caldwell
XRP got chewed up by a hotter-than-expected PPI report and then somehow clawed back from six percent losses to re-test $1.34. That bounce off $1.32 happened fast enough to look like panic buying. It probably was. The broader crypto market dumped over three days and liquidated $1.7 billion in positions while Bitcoin slid below $81,000 and Ethereum broke under $2,400. XRP just refused to join the collapse entirely. That refusal is either conviction or confusion.
The PPI came in at 1.3 percent monthly against a 0.5 percent forecast. Core PPI hit 0.7 percent versus a 0.3 percent read. Both followed a CPI print that also missed to the upside. Higher energy costs pushed wholesale prices further than anyone priced in. Traders who had bet on easing inflation got squeezed. More than $100 million in short positions evaporated in twelve hours once the reversal kicked in. XRP held above $1.32 and traded at $1.34 on October 16, up roughly 2.18 percent from the lows.
XRP ETF inflows tell a quieter story that matters more long-term. Net inflows hit just $13 million in October. At a simple run rate that projects about $26 million for the full month, which is a 79 percent drop from September. Bitwise added $10.55 million. Franklin Templeton’s XRPZ pulled in $4.1 million. Canary Capital’s XRPC saw $3.34 million in outflows. Cumulative inflows sit at $1.80 billion with net assets of $1.51 billion. The weekly inflow streak is now at 13 weeks. The momentum is flatlining.
On-chain data from Santiment shows exchange inflows spiked between September 10 and September 27 and have since declined. Holders stopped routing tokens to exchanges to sell. That reduction in sell pressure is one reason the $1.32 level held. Ali Charts flagged $1.25 as the likely buying zone if price retests the lower boundary of the hourly parallel channel. A bounce from there could target $1.42 at the midpoint or $1.60 at the upper boundary.
The daily chart shows strong buying volume appeared exactly at $1.32. That level has been key support for weeks. A four-hour close below $1.30 would open the door to $1.25. Price needs to clear $1.45 on the four-hour to confirm a reversal. The RSI sat at 32.82, deep in oversold territory. The MACD line remained below its signal line. The structure is fragile but not broken.
If the Fed keeps rates higher for longer because inflation is proving stickier than expected, XRP will keep grinding against macro headwinds until ETF demand catches up with the price. Right now it is not. $1.25 is the real test. Hold that and $1.45 breaks and the channel play works. Lose that support and the whole setup resets.