- Ripple (XRP) price witnessed a marginal drop on Saturday, while its price is really stuck in the consolidation zone around $1.31, with a market capitalization of $80.44 billion.
- The drop in the cryptocurrency was seen after the XRP Ledger recorded 4.49 million successful transactions in one single day on April 2.
- The price movement in XRP follows turmoil in the crypto market, where major cryptocurrencies, like Bitcoin, are stuck in a tight range
With no major momentum in the crypto market, the Ripple (XRP) price has been stuck in a tight range at around $1.31. Amid the uncertainty in the global financial market, this consolidation phase is reportedly suggesting its upward momentum if the situation improves.
According to CoinMarketCap, the Ripple (XRP) price plunged by over 1%, with a market capitalization of $80.44 billion on Saturday. The daily trading volume has plunged by over 54% on a daily chart and currently revolves around $903 million.
Ripple (XRP) Price Dips, But Network Activity Hits New Record
Today’s drop in the XRP price was seen after a recent whale movement, in which some large holders removed 442 million XRP from Binance and WhiteBIT in one of the biggest outflow waves since February.
While the market is still taking notes from Bitcoin and overall market sentiment, large holders quietly made a move that the price has not reacted to as of now.
Most of the outflows came in the two different phases rather than slowly, which makes the activity stand out from normal trading patterns. Activity jumped nearly 9 times above the recent daily average, which shows a clear spike in large holder movement. The XRP was offloaded from exchanges, which removes immediate sell pressure from the market.
This is the major dump because supply on exchanges directly affects short-term price action. When a large amount of XRP tokens leaves trading platforms, it changes the balance between buyers and sellers. Low supply available on exchanges typically means fewer coins are ready to be sold at a moment’s notice, which can reduce downward pressure on price.
Despite the drop in the cryptocurrency’s price, the XRP Ledger made a record 4.49 million successful transactions in one single day on April 2. According to XRPScan, this is the highest volume in the last 2 years. Apart from this, the active addresses surged over 200,000, and total wallets increased 7.7 million. This makes it a 13-year high.
According to technical indicators, the current price movement in the cryptocurrency is suggesting a bearish trend. The 14-day Relative Strength Index revolves around 40, which places XRP in neutral territory leaning toward sell conditions. This figure shows steady selling without entering extreme oversold territory.
The moving average convergence divergence indicator is showing a negative value that generated a clear sell signal for short-term traders. XRP stayed below its 10-day exponential moving average at $1.34 and its 20-day exponential moving average at $1.36.
There is major support at around $1.30, with analysts warning that a break below $1.06 could spark a decline toward $0.87. On the other hand, resistance is revolving at around $1.40 on the 50-day simple moving average.
The crypto market is currently going through turbulence due to the ongoing geopolitical tension in the Middle East region between U.S-Iran, which has created a global energy crisis. Due to this, inflation is also rising in the U.S. and other countries. Federal Reserve policies on interest rates and liquidity continued to influence investor behavior and create volatility in the crypto market.
In February, Ripple announced plans to decentralize funding and support for ledger projects through independent organizations, venture partners, and community initiatives. The new FinTech Builder Programme targeted startups building institutional-grade applications in stablecoin payments, credit infrastructure, tokenization, and regulated financial services.
Also Read: Hyperliquid Price Soars 2.5% as Perp Market Share Grows
Credit: Source link
