The October 10th crypto flash crash, which wiped out nearly $20 billion in leveraged positions, shocked investors across the crypto market. XRP (CRYPTO: XRP) was hit hard with a 60% downturn, which affected its momentum and disrupted short-term trends.
However, the XRP price has entered a recovery phase, fueled by Ripple’s ongoing institutional expansion. With sentiment slowly recovering, investors are weighing in on one crucial question: Is XRP still worth buying post crash? Let’s find out.
XRP Price Performance Before and After the Crypto Flash Crash
XRP Pre Crash
Before the crypto flash crash, the XRP price hovered around $2.45 and $2.80, showing a slight bullish trend that reflected its community confidence. XRP had been building momentum with reports of spot ETF approval potentially attracting between $3-$8 billion in inflows. Institutional confidence backed this move as Wall Street analysts highlighted the new XRP Reference Price Index as a signal that institutional whales are considering XRP as a legitimate investment option. This news triggered optimism across the broader crypto market, with XRP predictions pointing towards a surge to $4.
Adding to the momentum was Ripple’s partnered with Bahrain Fintech Bay with the goal to providing digital asset custody and broadening the reach of the RLUSD stable coin in the Middle East. The deal marked a strategic push as liquidity rose and XRP’s daily trading volumes averaged $170 million, with the crypto reaching $2.95 in early October.
XRP Post Crash
XRP’s rally stalled following the crash. As many leveraged positions saw sharp liquidations, XRP wasn’t left out, seeing a 60% downturn from its local highs to trade at $1.25. This downturn temporarily removed all the bullish optimism created by the news of XRP’s ETF approvals and tested its long-term support levels. However, despite the downturn, it proved to be a strategic moment for some investors as whales known to buy the dip acquired XRP massively around the $1.30-$1.50 zone.
After the crash, the XRP price has recovered faster than most cryptos. The crypto has recovered to a price point of around $2.60 and is trading above short-term moving averages. XRP’s powerful rebound has been attributed to the Ripple Network’s strategic corporate moves, like the recent $1.25 billion acquisition of Hidden Road and the creation of Ripple Prime, a unified institutional platform. When combined with the latest crypto news of CME launching XRP options and the XRP Ledger supporting tokenized credit issuance in Brazil, it is clear that XRP’s post-crash performance is fueled by fundamentals, rather than hype.
