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coinpedia 2025-06-23 11:56:07

Why is XRP Price Dropping?

Why is XRP Price Dropping?

The post Why is XRP Price Dropping? appeared first on Coinpedia Fintech News The XRP price has dropped below $ 2 for the first time in over 12 weeks. In the last 24 hours alone, XRP slipped by 2% to $1.99 , sparking concerns among investors and XRP enthusiasts. This 2.18% decline yesterday adds to a 7.93% drop since June 19, when XRP was priced at $2.17. At one point, XRP even touched $1.90, raising fears of a deeper correction. But experts suggest the problem isn’t with XRP itself. Why Did XRP Drop This Week? Analysts believe the XRP price fall isn’t about weak fundamentals but rather a result of broader market-wide pressure. According to Versan Aljarrah, co-founder of Black Swan Capitalist, the recent drop reflects overall market volatility, not a failure in XRP’s utility or use case. “XRP is simply following broader market sentiment,” he explained. Geopolitical Tensions Rock the Crypto Market The global crypto market is currently bearish. Over the last 24 hours, it has dropped by 2.6% , affecting nearly all major assets. Here’s a quick snapshot of this week’s top losers: Bitcoin: -4.9% Ethereum: -14% XRP: -8.3% Solana: -14.7% Dogecoin: -14% Cardano: -15.7% Sui & BCH: -20.3% each The Israel-Iran conflict is believed to be the main trigger. The Israel-Iran Conflict and Its Ripple Effects On June 22, the U.S. bombed three key Iranian nuclear sites, marking the most aggressive Western military action against Iran since 1979. In retaliation, Iran launched missiles at Israel and threatened U.S. bases in the Middle East. Iran’s parliament has also voted to shut down the Strait of Hormuz, a critical oil passage. Oil Prices Surge – Crypto Takes a Hit The conflict has sent oil prices soaring: Brent Crude: +3% WTI Futures: 5-month high If oil prices climb to $100–$150 per barrel, as some analysts warn, it could lead to global inflation, lower liquidity, and a crypto sell-off. Rising energy costs also hurt Bitcoin mining profitability, adding further pressure to the market. Can XRP Bounce Back? Analysts Say Yes Despite the short-term drop, some analysts remain bullish on XRP. Expert EGRAG Crypto predicts XRP could hit: $6.70 $13 Even $27 if historic trends repeat Over the past year, XRP has gained 310.4%, outperforming even Bitcoin and Ethereum. Supporters argue its real value lies in its utility , not market noise. Final Thoughts XRP’s fall below $2 may feel alarming, but market analysts urge caution. The decline appears to be part of a broader correction in the crypto market, driven by geopolitical and macroeconomic shocks. As always, short-term volatility doesn’t erase long-term potential—especially for utility-driven assets like XRP.

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