The US Federal Reserve cut the key interest rates, Trump and China had a successful meeting in terms of lowering some of the tariffs, and it’s still October – a historically bullish month for the cryptocurrency market. So, you would expect risk-on assets to be soaring, right?
That hasn’t been the case for most of the month, and the past 24 hours have brought nothing but more pain. But why is XRP’s price down today by over 6% after the most recent positive developments around the company behind the asset?
The most obvious answer is the market-wide correction. After all, BTC led the losses with a fresh nosedive to a weekly low of $107,500 minutes ago. Naturally, most altcoins followed suit, with ETH dumping below $3,800 and, as mentioned above, XRP dropping to $2.45.
However, there could be more to the story with Ripple’s cross-border token. The asset charted an impressive double-digit price surge in the past week or so that helped it overcome BNB in terms of market cap rankings.
What goes up must come down, though. After this notable rally, a key technical tool with a high success rate when it comes to determining XRP’s moves flashed a sell signal, as reported yesterday. The TD Sequential has been quite accurate in recent months, and each sell/buy signal has led to a double-digit price move in the opposite direction from the current trend.
In addition, Ripple whales have been on a selling spree for weeks. Although this didn’t shake the asset at first, it could be among the reasons behind today’s price drop as these large investors tend to influence the market with sizeable purchases, or, as in this case, sell-offs.
The price slide from today has led to $20 million in longs liquidated from over-leveraged XRP traders, which is still a long way behind BTC’s $490 million and ETH’s $250 million, according to CoinGlass data.
The post Why Is Ripple (XRP) Price Down Today? (October 30) appeared first on CryptoPotato.
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