XRP is currently consolidating after several volatile trading sessions caused by geopolitical tensions surrounding the Iran conflict, which briefly shook risk markets and pushed cryptocurrencies into sharp intraday swings. While price action in the crypto sector remains sensitive to macro developments, recent data suggests that parts of the altcoin market may be starting to stabilize.
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A report from CryptoQuant analyst Darkfost shows that despite the uncertainty that has weighed on digital assets in recent weeks, altcoins are starting to show early signs of resilience. One of the key indicators supporting this view is the performance of Total3, a metric that tracks the combined market capitalization of altcoins excluding Ethereum.
According to the data, Total3 is currently consolidating within a range between $640 billion and $740 billion. Since the beginning of February, the index has posted a gain of around 11%, indicating that some capital remains allocated to altcoins even in a fragile liquidity environment.
However, the broader market structure remains selective. Liquidity in the crypto sector is still relatively limited, while the number of competing altcoin projects continues to grow. In this environment, capital tends to concentrate in a limited number of assets, making careful asset selection increasingly important for investors navigating the current market cycle.
Increasing withdrawals and demand for ETF indicate selective interest
Darkfost too points to several signals that XRP is attracting renewed attention despite broader market uncertainty. One of the most notable developments is the recent spike in withdrawal transactions on Binance. According to the data, XRP withdrawals have increased sharply several times in recent days, including an increase of more than 14,000 transactions recorded on March 6.
This type of activity often indicates that some investors are moving assets from the stock exchanges to private portfolios. In market terms, such behavior can indicate accumulation, as participants withdraw tokens they intend to hold rather than keep available for immediate trading.
This trend is unfolding alongside growing institutional interest in XRP-related investment products. XRP exchange-traded funds have reportedly accumulated total inflows of more than $1.4 billion, underscoring continued demand despite the challenging macroeconomic environment impacting digital assets.
Institutional exposure also appears to be gradually increasing. Reports suggest that Goldman Sachs currently owns more than 83 million XRP, illustrating how certain major financial players are beginning to monitor or gain exposure to the asset.
If this momentum continues, XRP could continue to attract some of the limited liquidity circulating within the altcoin market, where capital is increasingly concentrated in a small group of assets.
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XRP is close to consolidating key support after extended downtrend
XRP continues to trade near the $1.35-$1.40 region, following an extended correction phase that has defined the market structure since late 2025. The three-day chart shows the asset stabilizing after a sharp decline earlier this year, which saw the price fall from above $2.20 to the $1.10-$1.20 range, where buyers briefly intervened to meet the selling pressure.
Despite the recent stabilization, the broader trend remains bearish. XRP is trading below the major moving averages, including the 50 and 100 period trends, which are now sloping downward and acting as dynamic resistance zones. The 200-period long-term moving average near the $1.90 region represents a more important structural barrier that the market would need to regain in order to change the broader trend.
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Price action in recent weeks indicates a consolidation phase between around $1.25 and $1.45. This range was created after the February capitulation fuse that briefly drove XRP to its cycle low. Since then, volatility has decreased as buyers and sellers seek balance.
To improve the market structure, XRP would likely need to recapture the $1.60-$1.70 resistance zone, where previous slumps have accelerated the decline. Until that happens, the chart indicates a period of sideways consolidation within a broader corrective trend.
Featured image of ChatGPT, chart from TradingView.com