Ripple XRP fell to $1.05 on Tuesday within five minutes of the U.S. October consumer price index report, which indicated that the XRP USD price was rising at a pace that exceeded economists’ forecasts. XRP crypto traded at $1.0797 when the report came out at 8:30 a.m., or 13:30. By 13:35 it had touched $1.0500 on Binance, marking a 2.8% decline and representing its lowest price since August 19. It has since rebounded to approximately $1.07. Bitcoin experienced a decline, decreasing to $73,525 within the same five-minute interval. The decline positions XRP at a level it has previously encountered. Between late June and mid-August, XRP maintained a trading range of approximately $1.05 for several weeks.
The level was maintained initially but subsequently breached on the second occasion. Prices increased at a rate exceeding expectations in October. The Bureau of Labour Statistics reported that consumer prices increased by 0.4% for the month, surpassing the 0.3% forecasted by economists. Core prices, excluding food and energy due to their volatility, increased by 0.3%. The forecast was 0.2%. Core inflation has consistently registered approximately 0.3% over the past three months. The report is lacking one customary figure. The bureau refrained from publishing a yearly inflation rate due to the absence of price collection in October 2025, a consequence of the government shutdown. That leaves the monthly figures to underpin the entire report. Those monthly figures are significant for the Federal Reserve.
Fed Governor Christopher Waller stated in a speech this morning that he is inclined toward a 0.25 percentage point rate hike in December. If core CPI came in around 0.3% again, he stated, a 0.5 point hike “should be considered”. Core CPI registered at 0.3%. Prior to the announcement, traders perceived virtually no likelihood of such a significant increase. Higher rates increase the yields on cash and bonds, which typically results in a withdrawal of capital from riskier assets such as XRP. The initial reaction following a strong report has frequently diminished. We assessed XRP’s price on Binance during the 24-hour period following each of the last 24 CPI reports, spanning from October 2024 to October 2026. Ten of those reports indicated core inflation rates of 0.3% or higher, similar to the figures observed today.
After seven instances, XRP experienced an increase 24 hours later. The median movement recorded was a 1.4% increase. The performance is less robust this year. Among the four significant reports in 2026, XRP experienced an increase the following day on only two occasions. Following the most recent event on October 14, there was a decline of 4.4% within a 24-hour period. The distinction in this instance lies with the Federal Reserve. A report indicating a modest increase is more readily dismissed by traders. One that proposes a more substantial increase, as Waller articulated, provides sellers with greater leverage.
