XRP has experienced a significant drop, erasing recent gains after hitting a record price of $3.65 last week. Currently traded at $3.09, the coin has fallen over 15%, influenced by broader market declines where most altcoins, including Solana and Dogecoin, have also slipped. Analyst Katie Talati noted that macroeconomic factors and crypto market exhaustion are contributing to this pullback, suggesting volatility that differs from traditional markets. Investors are now eagerly watching for potential interest rate cuts by the U.S. Federal Reserve, as lower rates tend to benefit riskier assets like crypto. Despite the drop, Talati mentioned that XRP remains popular among retail investors, especially after the resolution of a lengthy SEC lawsuit, making it appear as a less-risky investment. The situation reflects a complex dynamic in crypto markets despite overall liquidity being high in the economy, raising questions about the reaction of digital assets to economic changes.

Source 🔗