XRP, the fourth-largest cryptocurrency by market capitalization, has suffered a sharp drop, plunging to $1.65, its lowest point since November 2024. This represents a significant 30% loss over the past month. The broader market is also on edge, with mounting fears of a U.S. trade war fueling sell-offs across both stocks and riskier assets like cryptocurrencies.
XRP has already lost 20% in the past 24 hours alone, and investors are now asking: could it fall further to $1, marking a 44% decline from its recent highs?
Trade War Concerns Trigger Market Volatility
The downturn in XRP’s price coincides with rising concerns over new U.S. trade tariffs. U.S. President Donald Trump recently suggested he was “open to talking” but offered no sign of retreating on his tough trade policies. This growing uncertainty has rattled markets, with traders moving away from volatile assets and triggering more sell-offs.
A surge in Google searches for “Black Monday,” a term tied to past stock market crashes, signals increasing investor anxiety. The broader crypto market has taken a hit, with its total value dropping by 11.4% to $2.36 trillion. U.S. stocks are also under pressure, with S&P 500 futures falling 3%, reflecting a broader shift away from risk.
XRP Liquidations Surge Amid Sell-Offs
In the midst of these concerns, the futures market has seen a massive wave of liquidations. According to Coinglass, over $1.38 billion in crypto positions were liquidated in the last 24 hours, impacting 446,448 traders. XRP accounted for $64 million in liquidations, with most of these stemming from long positions. This heightened panic has only intensified downward pressure on XRP’s price.
Also Read: Traders Bet Big as XRP Open Interest Soars Past $3 Billion—Breakout or Breakdown Ahead?
Is $1 Within Reach?
XRP is currently trading at $1.67, with its market cap dipping below $100 billion. Technical indicators show a bearish outlook, as XRP has fallen below the key $1.80 support level and its 200-day moving average. If the price closes below $1.47 today, further declines are likely, potentially bringing XRP to the dreaded $1 mark.
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 a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
