XRP Today News: The U.S. government shutdown remains unresolved, and the ETF delay intensifies the risk of falling below 2 dollars.

The U.S. government shutdown has been extended to 16 days as of October 16, making the approval timeframe for the XRP Spot ETF increasingly uncertain. In the 10th round of voting, no new Democratic members joined, heightening concerns about the extension of the government shutdown. Today's news on XRP indicates that the risk of XRP falling below $2 has increased as traders react to the latency of inflows from institutional investors.

Senate vote fails again: political deadlock extends ETF review

The U.S. government shutdown means that the SEC can only operate with a streamlined staff, pausing critical review and approval work. The delay includes the approval of the revised S-1 filing for the XRP Spot ETF. Before the government shutdown, the market speculated that the SEC would approve these seven XRP Spot ETFs by October 18. October 18 is the first of the final decision deadlines.

Previously, the U.S. Securities and Exchange Commission approved the S-1 filings for BTC Spot and ETH Spot ETFs on the same day, removing any first-mover advantage. Even if the U.S. Senate passes a temporary funding bill on October 17, the likelihood of the agency approving Spot ETFs remains negligible. Today's news on XRP shows that the prolonged closure has led to a stagnation in the SEC's review of the XRP Spot ETF, increasing uncertainty about institutional fund inflows.

The U.S. government shutdown also means that the advancement of the “Market Structure Bill” is stagnant, and the U.S. digital asset sector lacks the urgently needed cryptocurrency regulation. In contrast, after the House of Representatives passed the “Market Structure Bill” to the Senate, XRP rose by 14.69% on July 17. This comparison shows the direct impact of regulatory progress on the price of XRP.

The escalating tensions in China-U.S. trade increase market pressure

Other factors leading to the fall of XRP in October include the escalation of the Sino-U.S. trade war. President Trump threatened to impose a 100% tariff on goods imported from China. This threat caused XRP to plummet to $0.7773, after which it recovered to the $2.3 mark. Notably, the closure, latency in the approval of Spot ETFs, and the intensifying tensions between China and the U.S. have overshadowed Ripple's latest efforts to establish its position on Main Street.

Global trade uncertainty usually suppresses demand for risk assets, and cryptocurrencies, as highly volatile assets, are the first to be affected. The escalation of the Sino-US trade war not only impacts XRP, but the total market capitalization of the entire cryptocurrency market has plummeted from 4.27 trillion dollars on October 6 to 3.64 trillion dollars on October 17.

Ripple Strategic Expansion: $1 Billion Acquisition of GTreasury

Despite facing resistance in the market, Ripple continues to advance its Main Street ambitions. This week, the company announced a custody partnership with South Africa's Absa Bank, sparking speculation about XRPL's integration into cross-border payments. More significantly, the $1 billion acquisition of GTreasury extends Ripple's influence into the $120 trillion corporate finance payment market.

CEO Brad Garlinghouse stated, “A large amount of cash is stuck in outdated payment systems, causing friction, unnecessary costs, and barriers to entering new markets. For decades, GTreasury has been serving some well-known brands—now, we will partner with Ripple to help CFOs manage all their assets on a global scale, including stablecoins, tokenized deposits, and more.”

Ripple's strategic expansion to Main Street could further legitimize XRP, potentially stimulating much-needed institutional demand. However, traders may need the U.S. government to reopen, SEC approval of a Spot ETF, easing of tensions between China and the U.S., and the Federal Reserve to cut interest rates.

Technical Analysis: Battle to Defend the Psychological Barrier of 2 Dollars

(Source: Trading View)

On October 16, XRP fell another 3.46% after a 3.9% decline the previous day, closing at $2.3290. The continuous decline over three days has caused XRP to break below the $2.4 barrier, and the psychological barrier of $2 is about to be reached. [XRP]/sell-ripple-xrp( continues to underperform the market, further falling below the 50-day and 200-day exponential moving averages (EMA), confirming the bearish trend once again.

Key Technology Level:

Support levels: $2.2, $2.0, and $1.9

Technical resistance levels: 200-day EMA at $2.6262, 50-day EMA at $2.7924

Resistance levels: $2.4, $2.7, and $3.0

) Bearish and Bullish Scenarios: Determining XRP's Next Move

In the upcoming trading days, several key drivers may determine the recent price trend: US-China trade negotiations, the US government shutdown, the development of the XRP Spot ETF, and BlackRock's stance on the iShares XRP Trust.

Bearish Scenario (Risk Below $2.2):

1. BlackRock has downplayed the XRP Spot ETF plans.

2. The deadlock in the U.S. Senate continues, delaying the approval of the XRP Spot ETF.

3. Blue-chip companies do not consider XRP as a financial reserve asset.

4. SWIFT maintains its market share in the global remittance market.

These bearish scenarios could pull XRP back to $2.2. If it breaks through, $2.0 will become the next key support level.

Bullish Scenario (Towards $3):

1. The United States and China reached a trade agreement.

2. The U.S. government reopens

3. The SEC approved the XRP Spot ETF.

4. Blue chip companies increase their holdings of XRP for financial purposes.

5. Ripple obtained a charter bank license in the United States.

These bullish scenarios could drive XRP to reach 3.0 USD. Everyone's attention is focused on the Senate, as the 11th vote may determine whether XRP recovers to 3 USD or continues to fall towards 2 USD.