XRP Plummets to $1 Amid Institutional Selling and Cooling Network Activity

XRP's price plummeted to $1 on Monday, outperforming the broader cryptocurrency market decline of 1.69% in 24 hours.

The drop is attributed to negative institutional sentiment and a significant reduction in network usage, with XRP Ledger transactions declining by 44.1% over five days.

Grayscale's XRP Trust revealed that it sold over 103 million XRP ($180.78M) in the first half of 2026, indicating a substantial decrease in institutional holdings.

The combination of institutional selling and cooling on-chain activity creates a negative feedback loop, eroding investor confidence and pushing XRP below its 50-day ($1.09) and 200-day ($1.32) moving averages.