Why XRP Price Is Down Today After Soaring 45% in One Week

What to Know

• XRP fell to $1.46 as profit-taking followed its 45% weekly rally, while trading volume dropped 23.31% to $6.07 billion.
• Holding $1.44 preserves bullish structure, while an 80.99 RSI signals overbought conditions and possible consolidation near current levels for XRP.
• U.S. inflation stands at 3.34%, making monetary policy expectations another influence on XRP alongside technical support and resistance levels.

 

XRP has dropped to $1.46 as traders secure profits from the cryptocurrency’s powerful 45% weekly rally. According to CoinMarketCap data, XRP declined 1.2% within 24 hours, reducing its market capitalization to $91.72 billion.

Meanwhile, daily trading volume fell 23.31% to $6.07 billion, indicating weaker market participation during the pullback. The decline mainly reflects profit-taking as traders lock in gains accumulated during XRP’s advance.

XRP Price Faces Crucial Test Around $1.44 Support

XRP’s outlook depends on defending $1.44, a recent swing low aligning with the structure’s 78.6% Fibonacci retracement level. A stable defense could preserve the bullish formation, while renewed buying momentum may target resistance around $1.54.

Conversely, a decisive break below $1.44 could expose lower supports as the daily chart places XRP near $1.48. The latest candle shows a 2.46% decline, while an RSI of 80.99 places XRP within overbought territory. Although readings above 70 suggest consolidation, XRP remains above the $1.12594 Bollinger Band midpoint, preserving its broader bullish structure.

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U.S. Inflation Could Shape XRP’s Next Move

The United States inflation rate stands at 3.34%, keeping monetary policy expectations important for cryptocurrency investors. Elevated inflation may weaken demand for risk-sensitive assets by reducing market expectations for lower interest rates.

Additionally, investors will monitor the Personal Consumption Expenditures report for more evidence about underlying price pressures. Softer inflation data could improve investor confidence, while a higher reading may increase cryptocurrency market volatility.

XRP’s decline reflects profit-taking, weaker trading volume, and overbought conditions following its powerful 45% weekly rally. Holding $1.44 could protect the bullish structure, while reclaiming $1.54 would strengthen the prospects of another sustainable recovery.

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