New York, Jan 30, 2026, 10:18 (EST) — Regular session
- XRP dropped roughly 3% to near $1.77, as selling in derivatives ramped up the decline.
- Traders cited tighter liquidity concerns following President Donald Trump’s selection of Kevin Warsh as Fed chair.
- Washington’s stalled crypto market-structure bill is back in the spotlight as a White House meeting approaches on Feb. 2.
XRP dropped roughly 3% on Friday, slipping to about $1.77 after hitting a low of $1.72. The decline came amid broad selling across major cryptocurrencies, which pushed leveraged positions to unwind. 1
This shift is significant as crypto has reverted to behaving like a pure liquidity play. Even the slightest suggestion that the next Federal Reserve chair might reduce the central bank’s balance sheet—and pull cash out of markets—usually rattles the riskiest assets first.
XRP remains unusually reactive to news out of Washington. Efforts to establish clearer U.S. crypto trading regulations have accelerated this week, yet the politics are tangled, and the bill investors have been eyeing still shows no clear route forward.
Bitcoin dipped to about $82,300, with ether hovering near $2,735, Reuters reported. The dollar strengthened, and a tech-driven shakeup in equities spilled over into risk assets. Damien Boey, portfolio strategist at Wilson Asset Management, noted that talk of “pulling the rug out” on balance sheet expansion shifts which assets serve as a hedge. Meanwhile, Sean Dawson, head of research at Derive.xyz, pointed to “fears around AI exuberance” as another factor weighing on the market. 2
On Friday, Trump selected former Fed Governor Kevin Warsh to take the reins at the central bank once Jerome Powell’s term expires in May. This nomination still requires Senate approval. Warsh has pushed for shrinking the Fed’s balance sheet and has described monetary policy shifts as “regime change.” However, Senator Thom Tillis, a Republican, signaled he’ll block any Fed nominee until the Justice Department wraps up its investigation related to Powell. 3
Ripple, known for its link to XRP, is trying to refocus attention on the token despite recent price drops. The company rolled out a new corporate treasury management product called Ripple Treasury. GTreasury CEO Renaat Ver Eecke described “the digital asset space” as simply “another option” for clients—not a requirement, according to DL News. 4
The derivatives scene took center stage today. CoinGlass reported roughly $67.6 million in XRP futures liquidations within the last 24 hours — forced sell-offs that tend to intensify price moves when leverage is involved.
Regulation remains a hot topic. On Thursday, the U.S. Senate Agriculture Committee pushed forward a crypto market-structure bill in a party-line vote. If passed, it would hand the Commodity Futures Trading Commission control over spot crypto markets—the actual cash market, not futures. Senator Cory Booker warned, “We’re almost in the red zone on this bill,” saying it needs more work to secure bipartisan support. 5
There’s still a lot up in the air. The bill requires Democratic backing, while banks and crypto companies clash over whether exchanges should be allowed to offer rewards on dollar-pegged stablecoins. The Warsh nomination might also shake markets if his confirmation faces hurdles. For XRP, heavy futures bets are a double-edged sword — they can trigger rapid rallies or steep drops if stop-losses start getting hit.
On Monday, Feb. 2, the White House plans to meet with banking and crypto industry leaders to try to unblock the stalled legislation on stablecoin rules. Traders will also be watching closely for early signs of how quickly Warsh’s nomination advances in the Senate. 6
