XRP has plunged to $1.9 level on Friday and is down nearly 8% in the day’s trade. The leading altcoin has already shed 19% in a month and is erasing all the gains it generated this quarter. The price dip comes after Bitcoin fell to the $85,000 range and remains under bearish territory.
Bitcoin is reeling under pressure, down 8% on Friday and having lost 20% of its value in the past month. Ethereum also dipped below the $3,000 mark and is now hovering around the $2,800 level. XRP moves in tandem with the broader cryptocurrency market, and the downturn is affecting its price.
Also Read: XRP Breaks from Bitcoin: Researcher Says the Shift Starts Now
Will XRP Plunge Further?
Not just XRP, but the entire financial market, crypto, and equities are down this week. The overall cryptocurrency market cap has decreased by 31% since reaching a new high in October. Investors’ optimism that the central bank will cut interest rates for a third time has faded. Coming to the stock market, the Nasdaq Composite index fell by 486 points on Thursday. The Dow Jones index plummeted 386 points while the S&P 500 dipped by 103 points.
Also Read: “I Bought $2 M in Crypto, $1M of It XRP”, Portnoy’s Bold Move Unleashed
So, Why Is The Market Falling?
The Feds might not cut the interest rate as the jobs data looks gloomy. On average, the US added 44,000 jobs last quarter, which is barely trading water. The unemployment rate has reached 4.4%, which is the highest level since 2021. While 2021 was understandable due to the Coronavirus, the situation now does not justify the means. Since the macroeconomic conditions are not suitable for a rally, XRP’s price is under pressure.
More downturn could be expected in the coming weeks, and the market could face corrections. XRP is yet to bottom out, and it’s best to wait and watch before taking an entry position. This protects your capital from volatility and allows you to buy time before investing.
