XRP Slumps by 5.4% as Cryptocurrency Selloffs Intensify
Ripple (XRPUSD) slumped 5.43% over the last 24h to $1.80, underperforming the broader crypto market’s 4.8% drop. Top crypto assets have seen significant losses as sentiment waned.
Trading data obtained from crypto exchange revealed that XRP’s decline stems from Bitcoin’s slump and its own technical deterioration, reflecting crypto-wide risk aversion.
Bitcoin plunged below $85,000, dragging major altcoins like XRP downward as geopolitical instability altered investment sentiments.
The risk-off pressure in the market triggered $800 million+ in crypto liquidations, with altcoins hit hardest due to thinner liquidity.
XRP’s high correlation with Bitcoin amplifies downside during market stress. As Bitcoin’s dominance holds near 58.8%, capital rotates away from riskier altcoins, suppressing XRP’s price.
The price broke below the $1.85 support level, activating stop-loss orders. The Relative Strength Index signal shows no oversold relief, while the MACD signals ongoing bearish momentum.
This breach shifts market psychology, inviting short-term traders to target $1.60 next. With volume spiking 99.5% during the drop, panic selling overwhelmed buyers.
XRP balances strategic growth in Saudi Arabia against near-term technical fragility, with institutional ETF demand acting as a counterweight to retail selloffs.
Ripple partnered with Jeel, Riyad Bank’s innovation arm, to advance blockchain-based cross-border payments, digital asset custody, and tokenization in Saudi Arabia.
This aligns with Saudi Vision 2030’s goal to diversify the economy. Ripple also scheduled an XRP Community Day for February 11, featuring CEO Brad Garlinghouse.
Crypto analysts said this is bullish for XRP because it expands Ripple’s institutional footprint in a high-growth market, potentially increasing real-world utility and adoption of XRP for settlement.
XRP futures open interest dropped to $3.4 billion, down from about $4.55 billion in early January, signaling reduced retail leverage. Meanwhile, XRP ETFs maintained $1.27 billion in cumulative inflows despite market volatility, with institutions holding 788 million XRP in custody.
