XRP Holds Above 200-Day Average as Ledger Upgrade Race Collides With Geopolitical Selloff

XRP steadies near $1.39 after a 7% risk-off drop, as XRP Ledger amendments near activation and spot XRP ETFs draw $3.14M in net inflows.

Two opposing forces are pulling at XRP this week: a protocol upgrade moving toward activation on the XRP Ledger, and a broad risk-off wave that dragged the token down 7.0% to $1.32 in a single session. The asset has since steadied near $1.39, a modest 0.7% daily gain that keeps it above its 200-day moving average of $1.28.

The selloff had nothing to do with XRP itself. Renewed tensions between the US and Iran, compounded by attacks on shipping in the Strait of Hormuz, sent oil prices climbing and reignited inflation worries. US Treasury yields pushed higher, the dollar firmed, and capital fled risk assets across the board. Crypto was not spared, and the unwind of leveraged long positions added extra downward pressure on exchanges.

A Listing Gets Pushed Back

The turbulence also rippled into the ecosystem's corporate calendar. Evernorth Holdings has postponed its Nasdaq debut under the ticker XRPN from October 8 to October 12, according to media reports. An announcement in early October had pointed to a merger with Armada Acquisition Corp. II closing on October 7, with trading to begin today.

Validators Hold the Key

On the technical front, the XRP Ledger is approaching a pair of protocol changes. The earliest activation window for BatchV1_1, developed under the designation XLS-56, falls on Friday, contingent on continued backing from the required majority of network validators. The amendment would allow up to eight transactions to be bundled and settled atomically — all executed together or not at all. Paired with the companion fixBatchV1_2 adjustment, the upgrade targets greater efficiency in complex settlement flows. The scheduled date remains an earliest estimate rather than confirmation that activation has occurred.

A separate amendment, PermissionDelegationV1_1, was approaching its own earliest activation point around 21:25 UTC. It would let accounts delegate selected transaction permissions without handing over master keys — again subject to validator support above the required threshold.

Washington Drafts and an Asian Push

Regulatory signals out of the US have added tailwind. Reuters reported that the Commodity Futures Trading Commission has proposed new rules creating a dedicated category of regulated venues for crypto platforms offering leveraged trading to retail investors. Additional media coverage indicates the draft proposals classify XRP as a digital commodity, a designation that would further clarify the asset's legal standing in the US. The plans remain proposed regulations, not final rules.

Ripple, meanwhile, is widening its footprint in Asia. Days ago, the company and the XRP Ledger Foundation jointly launched XRP Asia, led by Sabrina Tachdjian, focused on the Asia-Pacific region and aimed at supporting developers, startups, and communities building on the ledger. Yesterday brought a separate corporate step: Meritz Securities and Ripple announced a strategic partnership to explore Ripple's digital custody and tokenization infrastructure in the South Korean capital market. No specific product, launch date, or use of XRP was confirmed in the announcement.

ETF Flows Return

Institutional demand showed signs of life as well. US-listed spot XRP ETFs recorded combined net inflows of $3.1404 million on October 6, led by Bitwise with $10.5514 million. Cumulative inflows into these products now stand at $1.794 billion.

Whether the recent momentum holds will depend heavily on formal approval of the pending software upgrades by network validators.