With a huge sell-off today, XRP is now down more than 50% over the last year.
XRP (XRP 23.37%) is getting hit with another powerful round of sell-offs in Thursday’s trading. The cryptocurrency’s token price had fallen roughly 24% over the past 24 hours of trading as of 3:45 p.m. ET. Over the same stretch, Bitcoin and Ethereum had fallen 13.5% and 14.2%, respectively.
Sell-offs across the cryptocurrency market are continuing today as investors react to shifting macroeconomic outlooks and weigh fundamental valuation concerns. As of this writing, XRP is now more than 50% over the last year.
News that President Donald Trump has picked Kevin Warsh to be the next head of the Federal Reserve has helped to spur a wave of selling across the crypto market. While Warsh has made some comments in support of the crypto industry, investors are concerned that the next Fed chair may not be the catalyst for interest rate cuts that some investors had been hoping for. Along with the potential for less favorable developments on the interest rate front, investors have also been selling out of cryptocurrencies in response to weak U.S. jobs numbers, valuation strengthening for precious metals, and broader risk-off sentiment.
XRP is now trading in the range of its 52-week low, and confidence in the broader crypto market has weakened dramatically. While concerns about Warsh’s impact on Fed rate policy could very well prove to be overblown, support levels for cryptocurrency valuations are difficult to calculate. XRP has relatively high levels of support from institutional and retail sources, but that hasn’t stop the token from seeing big valuation pullbacks recently.
