- XRP surged 320.13% in three months, with social dominance hitting 5.65%.
- The market cap stands at $128.53 billion, signaling strong investor interest.
- Analysts caution about euphoria-driven profit-taking by retail investors.
XRP’s social dominance reached 5.65% during the broader market slump, showing increased community interest and activity. According to LunarCrush, the token saw an impressive price surge of over 320% in the last three months, reaching a market cap of $128.53 billion. While this growth is encouraging, analysts recommend restraint.
XRP’s impressive price surge sparked discussions on platforms like Twitter, where market commentators are highlighting both opportunities and risks. One analyst said retail investors often trigger price spikes but are equally quick to sell off during profit-taking phases. This highlights the importance of strategic profit-taking in such volatile conditions.
“You can hate me all you want but when retail pumps a coin you can expect them to be just as quick with selling. Even if you are still bullish nothing wrong with taking profits when there’s euphoria and buying back later.”
Altcoin Market Faces Liquidity Crunch
The altcoin market dropped 30% in the last 24 hours after a promising streak, with some coins plunging up to 50% due to a liquidity crunch on major exchanges like Binance. This sharp correction raises questions about whether the uptrend is over.
The recent rise in XRP’s social metrics aligns with increased trading volumes and heightened speculative interest. This is why caution remains necessary, as analysts predict potential profit-taking waves that could lead to temporary corrections. For investors eyeing long-term opportunities, rebalancing portfolios during such phases might be a prudent approach.
Read also : XRP Whales Flood Binance: 2.66 Billion Tokens Moved Amid Price Swings
Despite the potential for short-term turbulence, XRP continues to generate optimism from its strong community engagement. As crypto enthusiasts closely monitor its movements, it remains to be seen whether XRP can maintain its upward momentum or if a consolidation phase is on the horizon.
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