XRP’s price remains as volatile as ever. In the last 3 weeks, the coin has witnessed a drop of more than 40%. In January, the XRP price reached its peak. The all-time January high was $3.40.
Meanwhile, the April low was $1.96, marking a staggering drop in the matter of 2 to 3 months. However, the charts suggest that the major drop happened in a matter of a few weeks only.
1: Major Triggers Behind The Fall
The derisking US economy has flagged off a correction in the prices of a lot of coins. Meanwhile, it also triggered a risk-off sentiment among the investors’ tribe worldwide.
As a result, the interest in risk-on assets dropped.
The external environment is quite bearish. However, XRP reflects strong fundamentals. In the meantime, the institutional investors are heavily backing the coin.
The prime reason behind the same is the resolution of the SEC vs. Ripple dispute. The district court case has been stalled for 2 months. In the meantime, the two parties would try to reach a consensus.
2: What’s XRP Doing?
XRP uses a fast and low-cost cross-border transaction strategy. The coin is based on the XRP Ledger platform. At the same time, XRP operates without any mining activities.
In spite of that, the coin uses the consensus mechanism to make at least 1500 transactions every second, against a negligible fee.
So, it is efficient. And the energy consumption is also low. On that note, XRP is way ahead of peers like BTC and ETH.
What Now?
XRP’s daily chart still shows the bearish trend. However, Trump’s Crypto Reserve proposal with XRP in the middle is bound to gain traction in favor of the coin. Wait and watch how this quarter turns out!
