Image default

Why is XRP Price Down Today?

Why is XRP price down today

YEREVAN ( — XRP price is down today, trading at just under $0.60 on Nov. 28 after falling 5% in the last 24 hours.

Additionally, the token dropped to its 50-day exponential moving average (50-day EMA; orange wave). If XRP holds the support, it could consolidate at the line for the coming sessions. However, if the decline continues, the coin could aim at the next available support at $0.56, 6% lower than the current value.

Meanwhile, the reasons behind the decline are noteworthy. So why is XRP down today? Let’s see.

Why is XRP Down Today? Blame the Outflows

Today, the crypto market printed red candles following Bitcoin’s (BTC) lead. The leading cryptocurrencies might be affected by the news of the Commodity Futures Trading Commission (CFTC) suing another crypto exchange, ByBit, on Nov. 27.

The lawsuit continues a series of allegations against digital asset trading platforms, including Binance. The latter faced legal fees north of $4 billion and restructuring following the resignation of its chief executive, Changpeng’ CZ’ Zhao.

However, XRP faced other issues in addition to the crypto regulation woes. With the $0.5 million inflows in the week ending Nov. 19, the XRP monthly outflows stood at $2.6 million, suggesting low investor expectations as the focus shifted from altcoins to Bitcoin.

why is XRP down today?
XRP monthly outflows. Source: ConShares

Additionally, several on-chain metrics supported the bearish price action.

XRP Price is Down Today Also Due to Bearish On-Chain Metrics

The development activity on the XRP Ledger dropped throughout November. Generally, high development activity on a blockchain could translate to investor trust and fund inflows. Conversely, low development activity could lead to lagging inflows and answer the question of why XRP is down today.

XRP development low
XRP development activity. Source: Santiment

Additionally, the Network activity has not picked up since the number of 7-day and 30-day active addresses dropped in mid-September.

why is XRP dpwn today?
XRP network activity. Source: Santiment

XRP MasterCard A Bright Spot

Ripple announced a partnership with MasterCard on Nov. 27. Wietse Wind, the founder of XRPL Labs and the Xumm Wallet, hinted at a groundbreaking partnership with MasterCard. This partnership aims to integrate MasterCard debit cards with the XRPL wallet, which could expand XRP utilization. The integration is part of XRPL’s efforts to expand its services and improve user experience​​.

XRP MasterCard
Wietse Wind tweet. Source: X

A new feature will allow users to pre-load these cards with $50 in XRP. However, Wind cautioned against using these cards at terminals and ATMs, as they are designed more for “secure storage of cryptocurrencies” than for everyday transactions​​.

While the initiative could enhance the mainstream acceptance and utility of XRP in everyday transactions, it did not yet boost the token’s price. The mentioned headwinds are why XRP is down today, but the collaboration with MasterCard could still boost the coin’s value in the long haul.

Source link

Related posts

ETH deposits outpace withdrawals as Shapella boosts stakers’ confidence

Marine Savard

Dump Incoming? Rogue BTC-e Is Moving $165M in Bitcoin

Marine Savard

Ethereum (ETH) Price Prediction 2025-2030: Calculating the odds of a 500% hike

Marine Savard

Carbon Offsetting for Blockchains & Beyond: Regen Network Launches Carbon Marketplace

Marine Savard

Microstrategy’s Bitcoin Holdings Reach 140,000 BTC After Acquiring 1,045 More Bitcoins – Bitcoin News

Marine Savard

SBF’s Thoughts on Respecting OFAC’s Sanctions List ‘Triggers’ ShapeShift Co-founder

Marine Savard

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More