Despite overall improvements in the cryptocurrency market, XRP’s price has declined by nearly 2%, trading around $2.13. This contrasts with rising prices of major cryptocurrencies like Ethereum, Solana, and meme tokens. Experts suggest that investors are shifting toward rapidly appreciating cryptocurrencies, putting pressure on slower-moving coins like XRP. Technical analysis shows XRP trading below key moving averages—SMA-20 at approximately $2.13, SMA-50 near $2.30, and SMA-200 close to $2.61—indicating a bearish trend and weak market momentum, which is affecting short-term investor confidence. Additionally, network activity for XRP has decreased, raising concerns about genuine demand. Analysts note that sudden fluctuations in network activity often signal artificial rather than real economic use, with stable activity needed for market improvement. Uncertainty surrounding large wallet transfers and the XRP exchange-traded fund (ETF) is also contributing to short-term pressure. On-chain data reveals significant XRP transfers among major exchange wallets, suggesting increased liquidity and supply pressure, while regulatory delays continue to limit investor interest. Experts advise that for XRP to regain short-term momentum, it must stabilize above the SMA-20 level and recover near $2.20. Furthermore, increased network activity and institutional product development are essential to enhance its market performance; otherwise, XRP risks lagging behind faster-growing digital assets.
Source: binance
