XRP's price decline today is primarily driven by significant liquidations in its derivatives market and long-term holders offloading their positions. Over $12.92 million worth of long positions were liquidated, intensifying the downward pressure on XRP. This forced selling aligns with a broader market decline, as the total crypto market cap slid by 6.5%. Additionally, XRP's funding rates have turned negative, indicating increased short interest and declining demand for long positions. On-chain data reveals that long-term holders have sold over $467 million worth of XRP, contributing to the price drop.
The technical landscape for XRP also presents challenges, with the price facing resistance at the upper boundary of a descending parallel channel at $2.45. If bulls fail to flip this level into support, XRP risks further decline to $2.15, supported by the 50-day Simple Moving Average. Despite the bearish momentum, some analysts remain optimistic about a potential breakout. Crypto analyst Steph Is Crypto suggests that XRP could still break out of its bull flag formation and potentially reach $5.60.
XRP's price has decreased by 2.06% today, reaching a low of $2.225562.