"Crypto Crash: Bitcoin, Ethereum, XRP Plummet Amid AI Arms Race"

Bitcoin, Ethereum, and XRP are down today, with Bitcoin falling below $100,000, Ethereum dropping below $3,000, and XRP losing 10% of its value. The decline in these cryptocurrencies coincides with a broader market downturn, triggered by the rise of China's AI model DeepSeek and significant liquidations in the crypto space.

The crypto market experienced a staggering $864 million in liquidations over a 24-hour period, driven largely by investor reactions to the emerging AI competition. Alvin Kan, COO at Bitget Wallet, stated that the hype around DeepSeek and broader volatility in the US AI market has spooked investors, leading to a flight to safety.

The emergence of DeepSeek, an AI model developed in China, has rapidly shifted market dynamics, contributing to significant volatility in the cryptocurrency sector. This development has raised concerns about an intensifying global AI arms race, especially as companies compete for dominance in this increasingly important market.

Market reaction to the surge in liquidations has been swift, with Bitcoin, Ethereum, and XRP all experiencing significant price declines. Bitcoin fell below $100,000, marking a retreat from its recent all-time high. Ethereum, the second-largest cryptocurrency by market capitalization, also saw a notable decline, falling below $3,000. XRP, the native token of Ripple, lost 10% of its value, breaking a key support level and increasing concerns about its future trajectory.

Technical indicators suggest a clear bearish sentiment surrounding XRP. The Moving Average Convergence Divergence (MACD) chart reflects a steady increase in red histograms, confirming that selling pressure is outpacing buying interest. Additionally, the MACD averages continue to show a bearish convergence, amplifying investors' concerns. The Simple Moving Average (SMA) indicator has consistently acted as resistance, preventing XRP from gaining upward momentum. Furthermore, a sharp downward curve in the daily chart indicates the token is likely to remain bearish this week.

For XRP to recover, buyers must regain control and push the price back to $3. If momentum intensifies, a strong bullish move could even help XRP test the $3.50 resistance level. However, this remains uncertain given the prevailing market conditions and