The XRP USDT price has entered a tense phase of market structure as Ethereum breaks to multi-year highs above $4,200.

This follows the news that Ripple co-founder Chris Larsen triggered market unease by transferring 50 million XRP (worth around $175M) from wallets linked to him in late July.

Blockchain trackers confirmed the movement originated from addresses historically tied to Larsen.

While the sale represents only 0.085% of XRP’s ~59 billion circulating supply, its timing, during an aggressive ETH breakout and with XRP stalled below key resistance, has fueled speculation about insider sentiment and potential supply overhang.

How is XRP USDT Price Reacting to ETH Pushing High and Larsen FUD?

In an initial reaction, XRP USDT price fell roughly 14% intraday on July 25 when news of Larsen’s transfers hit social media, but recovered half the drop within 48 hours.

The rebound suggested underlying bid strength, but the XRP USDT price chart remains capped by a major resistance cluster at $3.38–$3.65.

This zone aligns with July’s bearish tweezer top pattern, a technical formation often marking exhaustion points in uptrends.

Larsen retains an estimated 2.5 billion XRP, indicating no wholesale exit. Insider disposals of this size can be motivated by portfolio diversification, tax obligations, or funding unrelated ventures.

However, the optics of a founder cashing out while ETH captures market headlines cannot be ignored for traders.

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On-Chain Data Shows Distribution Risk Overhanging $3 Mark

According to research firm Alphractal, XRP’s Net Unrealized Profit/Loss (NUPL) is at levels last seen at the 2021 and 2018 peaks, indicating heavy latent profits among holders.

Historically, such readings have coincided with distribution phases where smart money sells into strength, creating headwinds for sustained rallies.

While ETH’s symmetrical triangle breakout signals a high-probability run toward record highs above $4,800, XRP remains locked in a critical battle.

With the XRP USDT price caught between a high-profit distribution zone and bullish sentiment spillover from ETH and BTC, the next decisive move will likely set the tone for Q4.

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XRP USDT Price Analysis: Can Ripple Catch Up With Ethereum Games?

As Ethereum pushes high, XRP USDT price is currently trading at a steady $3.19 (representing a 24-hour change of -0.95%).

This comes as price action bats back above the 20DM, in a recovery move since the Larsen FUD cut Ripple’s rally short. Now fighting to consolidate above this moving average level, all eyes are on the prospect of an upside retest at $3.66.

(XRPUSDT)

However, this will require price action to break above the local resistance zone around $3.40.

Nevertheless, compared to most major altcoins, XRP has a surprisingly cooled-off RSI indicator, which is reading close to neutral at 57, suggesting upside capacity is available to test.

Yet, as price action continues its 3-day slide, which now sits at a -5% loss, any breakthrough move for XRP is likely dependent on a broader market bounce buoyed by a BTC and ETH breakout.

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Alex Ioannou
Alex Ioannou
On-Chain Journalist

Alex is a seasoned cryptocurrency trader and market analyst with over seven years of active experience in the digital asset space. Since entering the markets in 2017, Alex has specialized in identifying emerging "meta" trends and high-volatility narratives. Notably, Alex... Read More

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