Why XRP is Going Down: Key Factors Behind the Recent Price Drop
Why XRP is Going Down Today: What’s Next for Ripple and Its Investors?
XRP Price Drops 5.35% After Rejection at $2.50 Resistance: What's Next
The price of XRP faced a sharp 5.35% drop following rejection at the $2.50 resistance level and the upper boundary of a Pennant pattern. On-chain data reveals increasing selling pressure from long-term XRP investors ahead of significant market events, including Donald Trump’s inauguration.
Bearish Market Sentiment Fueled by Economic Data
The latest JOLTS (Job Openings and Labor Turnover Survey) report revealed 8.1 million job openings in November, exceeding the 7.7 million forecast and rising from October's 7.8 million. This unexpected rise has contributed to bearish sentiment across the market.
XRP Liquidations Highlight Key Leverage Levels
In the last 24 hours, XRP liquidations totaled $16.84 million, with $12.93 million coming from long positions and $3.91 million from shorts.
The XRP Exchange Liquidation Map identifies crucial levels at $2.255 on the downside and $2.378 on the upside.
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A price increase to $2.378 could liquidate approximately $47.66 million in short positions.
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Conversely, a decline to $2.255 could result in liquidations of around $15.53 million in long positions.
These levels indicate high trader leverage, presenting significant opportunities for market volatility.
Technical Outlook: Key Decision Point for XRP
XRP is approaching a pivotal moment on the XRP/USD daily chart. A breakout above the resistance could trigger a strong bullish rally, with targets in the $2.80–$2.90 range. However, if the price breaks below the lower boundary and psychological support, it might signal a bearish move toward the $1.50 level.
What's Next for XRP?
The rejection at the $2.50 resistance and the upper boundary of the Pennant pattern suggests XRP could retest the lower boundary and psychological support. Traders should closely monitor these key levels to anticipate the next significant price move.
