XRP Saw Biggest Price Drop Since August: Here's What Happened

XRP has recently experienced a seismic price drop, one we have not seen since August. A massive price wick, as shown on the chart, liquidated millions of dollars worth of derivatives in less than an hour.

Timeline of Xrp

A prominent crypto lawyer who helped Ripple Labs and XRP in the case against the U.S. Securities and Exchange Commission (SEC) is volunteering to represent US retail token holders during an upcoming Congressional hearing.

Global crypto payments provider Ripple is poised to venture into a substantial $1.5 trillion industry, signaling a potential surge for XRP. The company is strategically positioning itself to provide solutions to the financial complexities within this industry.

In an upcoming congressional hearing on digital assets scheduled for January 10, John Deaton, a prominent lawyer known for his representation of XRP holders, has publicly volunteered to testify.

In a remarkable surge, digital asset investment products witnessed an impressive $2.2 billion in inflows for 2023, positioning it as the third-largest year on record, trailing only the extraordinary highs of 2020 and 2021.

XRP, one of the most renowned cryptocurrencies by global market cap, curated a tidal wave of speculations across the broader crypto market on Thursday, following substantial whale transfers jotted by the token. Notably, these transfers promptly gained significant traction among global crypto market enthusiasts as they surfaced amid XRP's price drop.

XRP YouTuber Moon Lambo has hit out at those who believe that the XRP price could be worth $20,000 in the future. The analyst believes that this price level is unattainable for the crypto token as he highlighted reasons why he holds this belief.

The crypto market value plummeted by 6.8% to $1.7 trillion on Wednesday following a report by Matrixport regarding the likelihood of the Securities and Exchange Commission (SEC) greenlighting spot Bitcoin exchange-traded funds (ETFs). As Bitcoin price fell sweeping through liquidity at $40,000, Ripple (XRP) dived to $0.56, down 11% in 24 hours.

On Jan. 1, 2024, Ripple, the leader in corporate crypto solutions, executed its planned release of 1 billion XRP from its escrow accounts. This well-established practice, occurring every first of the month, saw three distinct transactions unfold, injecting a measured dose of liquidity into the cryptocurrency market.

Throughout 2023, XRP's value has experienced a volatile journey, oscillating between highs and lows. While it showed intermittent growth between September and November, December brought a slight uptick of 2.78%, hinting at a possible shift from a bearish trend.

Crypto analyst EGRAG crypto recently posted an analysis of the various scenarios for the price trajectory of XRP in the near future. XRP, like most top cryptocurrencies, has received many price predictions in the past few months, as the entire crypto market witnessed a consistent increase in activity throughout the fourth quarter of 2023.