|
Getting your Trinity Audio player ready...
|
- Bitcoin lost the crucial $80,000 support level as macroeconomic fears intensified.
- XRP wallets holding at least 10,000 tokens reached a new all-time high.
- Analysts are closely watching XRP’s $1.50 resistance for a possible breakout.
The crypto market turned sharply volatile on Thursday as Bitcoin slipped below the critical $80,000 level while investors reacted to rising geopolitical tensions, hotter-than-expected U.S. inflation data, and fresh uncertainty surrounding U.S.-China relations.
Bitcoin briefly dropped near $79,200 during Asian trading hours after losing support around $80,000, a level that had held for much of the week. Traders are now closely watching the $78,000 zone as the next major support area.
At the same time, attention shifted to Beijing, where U.S. President Donald Trump and Chinese President Xi Jinping officially opened bilateral talks. The summit added fresh uncertainty to already fragile global markets, especially after Xi warned of major shifts in global power dynamics.
Crypto Sentiment Slides Back Into Fear
The broader crypto market weakened as investors moved into defensive positioning following another round of stronger-than-expected inflation data in the United States.
Ethereum fell roughly 2% toward $2,250, while XRP traded near $1.44 after briefly dipping lower earlier in the session. Solana posted some of the largest losses among major altcoins, sliding more than 5%.
Meme coins showed mixed performance, with Dogecoin managing to hold modest gains despite the broader sell-off.
Investor sentiment worsened after the latest U.S. producer price index came in far above expectations, reinforcing concerns that the Federal Reserve could delay interest rate cuts. Earlier this week, CPI inflation climbed to 3.8%, its highest level in nearly three years.
XRP Ledger Shows Strong Long-Term Accumulation
Despite short-term market weakness, on-chain data suggests XRP holders remain confident in the asset’s long-term outlook.
According to market intelligence platform Santiment, the number of wallets holding at least 10,000 XRP has reached a new all-time high of roughly 332,230 addresses.
The steady growth in large XRP wallets has continued since mid-2024, even through several market corrections. Most of the newly added wallets reportedly hold between 10,000 and 100,000 XRP, signaling increasing long-term accumulation rather than speculative trading activity.
Meanwhile, Ripple CEO Brad Garlinghouse recently stated the company is “close to the finish line” while highlighting the XRP Ledger’s low transaction costs and growing utility.
Institutional Growth Supports XRP Ecosystem
Activity across the XRP Ledger has also expanded significantly over the past year.
Monthly transactions reportedly climbed from around 43 million to nearly 71 million in April, representing approximately 65% year-over-year growth. Analysts believe much of the recent activity is being driven by institutional settlement use cases instead of retail speculation.
Growing involvement from platforms such as Bitstamp, Ripple USD, and Brazil-based financial firms has also strengthened optimism around the ecosystem’s long-term adoption.
Still, XRP continues to face major technical resistance near the $1.50 level. Analysts say a confirmed breakout above that zone could trigger a move toward the $1.60–$1.66 range in the coming weeks.
Outside crypto, global markets delivered mixed signals.
Oil prices remained elevated amid geopolitical concerns tied to Taiwan and international trade routes. Brent crude traded above $105 per barrel, while WTI crude stayed near the mid-$90 range.
Also Read: $635M Bitcoin ETF Shock Hits as Senate Nears Historic Crypto Vote
Meanwhile, AI-related technology stocks continued outperforming. NVIDIA remained one of the world’s strongest-performing companies, while Cisco surged after issuing stronger-than-expected guidance.
For crypto traders, however, attention remains focused on whether Bitcoin can stabilize above key support levels — and whether XRP’s growing on-chain strength can eventually translate into a major price breakout.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
