- XRP’s price crashed by 20% in less than 48 hours.
- The Federal Reserve’s interest rate cut policy triggered a market-wide price correction.
- XRP maintains a bullish outlook despite the recent price corrections.
XRP’s price fell 20% in less than 48 hours after a recent rally tied to Tuesday’s RLUSD launch, according to data from TradingView. The Ripple token retraced on Wednesday after the Federal Reserve’s latest interest rate cut news caused a market-wide price correction. XRP slid from Tuesday’s $2.7255 high to retest the support at $2.1708 early Thursday.
Beyond the Fed’s interest rate news impact, XRP’s pullback looked like a “buy the rumor, sell the news” scenario. The crypto asset’s price rose before the RLUSD launch and started falling even before the Fed’s announcement. This has led crypto analysts to examine the recent price correction and whether it signals trouble for XRP.
Read also: Altcoin ETFs: XRP, LTC, HBAR & SOL Expected to Join Bitcoin in U.S. Markets
A closer look at the crypto market pullback shows XRP plunged 13% in less than 24 hours, lower than most top cryptocurrencies. Early Thursday’s extension means the drop reached 16% before recovering. However, analysts are also looking at the altcoin’s behavior since it hit the $2.905 six-year high on December 3.
It is worth noting that XRP has maintained a bullish outlook despite the recent price corrections. The crypto asset established an upward trendline during last November’s rally and has kept it despite the recent pullbacks. XRP’s lowest decline in recent times took the altcoin to $1.8991, keeping the price above the current trendline on the daily chart.
Analysts Weigh In
While many analysts maintain a bullish outlook for XRP, they believe the outcome of the lingering case between Ripple and the SEC remains a pivotal factor in the crypto’s price development. One such analyst is Bloomberg’s Eric Balchunas, who thinks XRP might fall behind other cryptos that could receive the SEC’s green light to launch an ETF because of the delay in resolving the case between Ripple and the SEC.
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