XRP is feeling the heat as the crypto market dips again. The token is down to $2.18 after a 4.79% drop in the last 24 hours, dragging its market cap to $126.5 billion. In a month, the price has dropped amps 30% and around 20% in a week. But despite the fall, trading volume has surged to $6.79 billion, proving that investors aren’t sitting this one out.
Many had hoped for a rally after Donald Trump’s mention of XRP on Truth Social, growing chatter about a possible U.S. XRP Reserve, and rumors that the SEC might drop its lawsuit against Ripple. Instead, XRP has plunged nearly 30% this month, losing 14% just this week and another 10.5% in a single day.
And it’s not just XRP in trouble. Bitcoin has slipped to $82,000 after a 6.2% drop, Ethereum has tumbled 10.5%, and Solana is down 12.6%. BNB, Dogecoin, and Cardano are also deep in the red. With XRP now trading 28.55% below its monthly high, traders are on edge.
Analysts say the critical support level to watch is $2.30. If XRP falls below that, things could get worse. The token closed at $2.278 yesterday and has since fallen another 3.77%. The Relative Strength Index (RSI) at 33.04 suggests XRP is oversold and might see a bounce, but a 15% drop in futures open interest points to weakening confidence. Meanwhile, whales have dumped 81 million XRP, piling more pressure on the price.
Massive whale sell-offs seem to be a major culprit. Crypto analyst Ali Martinez noted that whales have offloaded 370 million XRP in just 96 hours, causing a 16% plunge. XRP has tumbled from $2.5 to $2.1, and so far, there’s no sign of a comeback.
To make things worse, the global economy isn’t doing any favors. The Biden administration’s tariffs on China, Mexico, and Canada have shaken up markets, fueling worries about inflation. If inflation rises, the Fed could delay interest rate cuts, keeping liquidity tight and making speculative assets like crypto even more vulnerable.
Traders had hoped that Trump’s comeback would boost the crypto market, but so far, the opposite has happened, Bitcoin is down 13% from its recent highs, Ethereum has lost 37%, and XRP has shed 30% since the start of the year.
XRP is deeply oversold, and with trading activity at its highest in weeks, a short-term bounce could happen. But with investor confidence low, whales offloading large amounts, and economic uncertainty looming, a lasting recovery is still uncertain. Investors will be keeping a close eye on key price levels and broader market trends as XRP tries to find stability.
Also Read: Solana Hits 4-Month Low, Can It Recover From the Crash?
