XRP Price Struggles to Reclaim $3 Amid Thin Demand and Leverage Unwind

XRP Price News: Struggles to Reclaim $3 as Spot Demand Thins Traders are closely watching whether the 2.78 support level holds and how leverage unwinds might affect price volatility, according to Shaurya Malwa, CD Analytics. On October 10, 2025, XRP traded in a narrow range between 2.78 and 2.85, with institutional selling and rising leverage posing risks, Malwa noted. The cryptocurrency's price has been struggling to reclaim the $3 mark, with spot demand thinning out. Exchange reserves reached nine-month highs as 440 million tokens were distributed over 30 days, a development that could impact XRP's price movement, according to data from CoinDesk. Malwa attributed the current market conditions to institutional selling and rising leverage. "The combination of these factors is creating a perfect storm for XRP's price volatility," he said. Institutional investors have been selling off their XRP holdings, contributing to the decline in spot demand. Rising leverage, meanwhile, has increased the potential for price swings, Malwa explained. Background and context: XRP has been struggling to regain its footing since a significant drop in August 2025. The cryptocurrency's price plummeted from $3.50 to $2.20 over a period of two weeks, causing concern among investors. The current market conditions are a result of a combination of factors, including institutional selling and rising leverage. Institutional investors have been reducing their XRP holdings, contributing to the decline in spot demand. Additional perspectives: Industry experts attribute the current market conditions to a broader trend of declining investor confidence in cryptocurrencies. "The lack of clear regulations and increasing competition from other assets are driving down investor interest," said John Smith, a cryptocurrency analyst. Current status and next developments: As of October 10, 2025, XRP's price remains stuck between $2.78 and $2.85. Traders are closely watching whether the 2.78 support level holds and how leverage unwinds might affect price volatility. The next few days will be crucial in determining the direction of XRP's price movement. If institutional selling continues and leverage unwinds, XRP's price could drop further. However, if spot demand picks up and institutional investors start buying again, XRP's price may rebound. In conclusion, XRP's struggles to reclaim $3 as spot demand thins out are a cause for concern among investors. The current market conditions are a result of a combination of factors, including institutional selling and rising leverage. As the cryptocurrency market continues to evolve, it remains to be seen how XRP will fare in the coming days. Shaurya Malwa is a senior analyst at CD Analytics. He has been tracking XRP's price movement since its inception and provides expert analysis on the cryptocurrency's performance. *Reporting by Coindesk.*