Ripple's XRP has experienced significant volatility, dropping over $1 in a single day amid a broader market downturn. Although its price has recovered slightly to over $2, caution persists as its recent upward momentum appears stalled.
The accompanying data showcases XRP's turbulent journey. On January 17, XRP nearly matched its all-time high, reaching $3.39 — a mere 1% below its 2018 record.
Despite failing to exceed this milestone, it managed to sustain over $3 for a couple of weeks. However, this stability was disrupted on Sunday morning when prices plunged from $3.07 to $2.7 and then further to $2.5. A brief recovery of 10% ensued before a major sell-off on Monday drove prices down again.
By Monday morning, XRP dramatically plummeted from $2.7 to below $1.8 on Bitstamp, marking its lowest point since November when Gary Gensler left the SEC.
While XRP has rebounded to above $2.2 at the time of reporting, this still represents a 24% daily decline, reducing its market capitalization to under $130 billion. As a result, USDT has overtaken XRP to become the third-largest cryptocurrency with a $140 billion market cap.
Additionally, XRP faces further pressure from market "whales"—large investors capable of influencing prices through their significant holdings. In the past 96 hours, these investors sold over 70 million XRP, continuing this trend by offloading another 130 million over the weekend, according to analyst Ali Martinez. This shift in behavior, following their earlier buying spree, suggests potential challenges ahead for XRP's market stability.
Disclaimer: The information provided in this article is for educational purposes only and should not be considered financial or legal advice. Always conduct your own research or consult a professional when dealing with cryptocurrency assets.