The financial markets were shocked on Tuesday evening after President Donald Trump announced his new import duties. What was meant as a ‘America First’ strategy, was immediately translated into panic among investors. The cryptomarkt got a blow, gold shot through the roof, and XRP again dropped under the $ 2 border.
XRP drops shortly under $ 2
XRP tapped on Wednesday for a short time $ 1.98, the lowest point in weeks. The coin has now quietly climbed back towards $ 2.03, but is still more than 4.48% lower than a day before. Coinglass reported that more than $ 20 million was liquidated in XRP positions in 24 hours, most of which consisted of longs. The uncertainty in the market can be felt.
The new rates that Trump introduces as part of his renewed protectionist course ensure economic tensions worldwide. Investors respond as always in times of uncertainty: they pull money out of everything that moves and park it in gold, which immediately pushed to a new record of $ 3162.
Cryptocurrencies belong to the losers at such moments. Bitcoin (BTC) dived to $ 82,000, Ethereum (ETH) and Solana (SOL) got hits, and XRP followed rapidly. According to Coinglass, about $ 500 million in smoke positions were added to the aftermath of Trumps announcement.
XRP threatens to sink further
The course of XRP is now dangerously close to an important level of support. If the currency drops below $ 1.90, it can be a technical confirmation of a larger correction. Analyst Peter Brandt points to a classic head-shoulder pattern with a price target around $ 1.07. No scenario that bulls are waiting for.
To break the Bearish trend, XRP has to go back to $ 3, the level that was still reached at the beginning of March. But with falling volume and decreasing interest among private investors, that is far away for the time being. Only about 5% of the circulating range of XRP is currently still on profit.
Where last week it was speculated about an emerging altseason, the situation now seems completely tilted. The market does not trust the policy of President Trump, and that immediately refers to risk investments such as cryptocurrencies. XRP is no exception, but a striking example of how quickly sentiment can run.
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Source: https://newsbit.nl/waarom-daalt-de-xrp-koers-vandaag-5/
