XRPUSD is not having its best days. Despite the overall slump in the cryptocurrency market, some altcoins are faring worse than others. Ripple’s XRP is unfortunately one of the biggest losers in this scenario, even after receiving major positive news recently.
A significant rise was observed on March 19, with XRP shooting up to $2.6. This was following Ripple CEO Brad Garlinghouse’s announcement of the conclusion of the lawsuit between Ripple and the US SEC. It was a moment of triumph that the XRP community had been waiting for over four years.
However, what followed was a typical ‘sell-the-news’ event, causing the price of the asset to drop rapidly, failing to regain its momentum. Even the official confirmation of the lawsuit closure couldn’t drive up XRP’s price.
Instead, XRP, the third-largest cryptocurrency, has dipped below $2.1, losing around 20% of its value since the March 19 peak. It is teetering close to dropping below $2, indicating potential further difficulties, despite overall positive developments surrounding Ripple.
The global market downturn, which saw BTC drop to $82,000, ETH to $1,800, and SOL to $125, could be a contributing factor to XRP’s fall. However, Ripple’s cross-border token has suffered the most among the top 20 altcoins, with a weekly drop of 14.5%, compared to BTC’s 5.5%, SOL’s 9%, and ETH’s 11.6%.
Beyond the ‘sell-the-news’ incident, another plausible explanation for XRP’s sharp decline could be the recent whale activities. These large players had been accumulating XRP post the US elections and during its rise from $0.6 to $3.4. But now, they seem to have changed their strategy, shedding large quantities of XRP, potentially triggering a more drastic price drop. Over 1.12 billion $XRP were sold off within just 48 hours!
