18% Downturn for Ripple (XRP) Amid Market Slump

• Ripple (XRP) Experiences Sizable Drop Amid Market Downturn
• Market Speculation Leads to Ripple Downturn
• Ripple Faces its Biggest Drop Since 2022
• Ripple Downturn Matches Market Trends
• Market Liquidations Affecting All Cryptocurrencies
• Ripple Market Cap Downturn

Ripple (XRP) Experiences Sizable Drop Amid Market Downturn

Ripple (XRP$0.620 -1.68%) has witnessed a significant drop of up to 18%, marking its biggest single-day tumble since November 2022. This has happened amidst a general market downturn. In the past 24 hours, the digital currency has seen a trading range from $0517 to $0.639, currently trading at $0.567 as per CoinMarketCap.

Market Speculation Leads to Ripple Downturn

The downturn of Ripple coincides with an identical market movement, ignited by reports of possible rejections of Spot Bitcoin$42,260 -0.64% ETF applications by the US Securities and Exchange Commission (SEC). This speculation has resulted in considerable selloffs, leading to a staggering over $540 million liquidation from the crypto market in merely 4 hours.

Ripple Faces its Biggest Drop Since 2022

During the tail end of 2023, the digital asset market was filled with significant optimism. As a result of rumors of Spot Bitcoin ETF approval, the price of Bitcoin (BTC) started the year above $45,000, and several cryptocurrencies experienced positive traction. However, the tide changed dramatically with recent reports indicating possible rejections of these applications.

Ripple Downturn Matches Market Trends

Alongside this development, Ripple's decline of up to 18% aligns with the larger market downturn. In addition, the digital currency's trading volume constitutes 1.92% of the overall volume of all digital assets. The volume traded, surpassing $2.9 billion in the past 24 hours alone, has seen an increase of over 133% within the same duration.

Market Liquidations Affecting All Cryptocurrencies

It's not just Ripple that is feeling the heat; the entire market is grappling with significant liquidations. Ripple, however, appears to have suffered more from the downturn's adverse effects. It's in the same boat as Bitcoin and Ethereum$2,315 -2.42% (ETH), with both falling over 6% and 7% respectively on the day.

Ripple Market Cap Downturn

Ripple's market cap has also fallen by over 9% in the last 24 hours, now standing at over $30 billion. The entire market is experiencing similar challenges due to the aforementioned speculation. How the value of various tokens shifts into the next week's Spot Bitcoin ETF deadline will provide crucial insights.

Edited by Jonathan Stoker