XRP news today: XRP Drops 6% in April, Analysts See Temporary Dip
3min read XRP, the cryptocurrency associated with Ripple Labs, has seen significant price fluctuations in April. The month began with XRP trading at around $2.0897, followed by a sharp correction of 14.06% early in the month. However, between April 9 and 12, XRP experienced a notable surge of 20.08%. The price peaked at $2.3618 on April 28 but has since dropped by 3.98% since April 29, with a further 2% decline in the last 24 hours.
This recent price drop has sparked intense debate among analysts. Some predict that XRP could crash to as low as $1.55, while others argue that the current dip is merely a shakeout before XRP embarks on its next major rally. Crypto analyst block BULL foresees a potential drop in the XRP market, suggesting that the price may dip below $2 in the short term. His forecast comes after XRP was rejected at the top of a bull flag pattern. Since then, the market has fallen by over 8%, and BLOCK BULL predicts a further decline to as low as $1.55—an over 30% drop from the recent high.
Despite the bearish outlook from some analysts, many experts, including BLOCK BULL, believe the recent downturn is only temporary. They highlight XRP’s solid fundamentals, citing Ripple’s strategic partnerships, regulatory progress, and growing institutional adoption as key factors driving long-term growth. In particular, Ripple’s recent success in halting legal proceedings with the U.S. Securities and Exchange Commission (SEC) has paved the way for a permanent settlement, further bolstering XRP’s long-term outlook.
Despite the current dip, most experts see this as an ideal buying opportunity. BLOCK BULL points out that whales are using price drops to accumulate more XRP, positioning themselves for the next upward move. Another analyst, BitGuru, sees $2.15 as a crucial support level. If XRP holds above this level, it could potentially bounce back to $2.25 or even higher. Brett also believes in XRP’s long-term potential, stressing that the real value will be evident for those who hold through market fluctuations.
Ask Aime: "Are XRP prices expected to crash in the near future?"
The consensus is clear: While XRP may experience short-term volatility, the current dip is an opportunity for long-term investors. With strong fundamentals and an improving regulatory environment, XRP’s price could see significant gains in the coming months. Keep an eye on support levels and market trends as we head into May.
XRP’s “hot capital” — short-term investment inflows — increased from $0.92 billion on April 20 to $2.17 billion by April 28, marking a 134.9% increase in just over a week. This surge in hot capital indicates a renewed wave of activity from short-term traders and speculators, serving as a barometer for short-term investor interest and trading activity. Despite this recent growth, XRP's hot capital remains significantly below its previous high of $7.66 billion in December 2024, which was nearly 72% higher than current levels. While the present $2.17 billion inflow points to increasing engagement, XRP has yet to reclaim the same degree of speculative momentum it enjoyed late last year.
The current rise in XRP's hot capital suggests that market sentiment is improving. Short-term investor interest is picking up again, fueled by broader crypto market movements and specific developments within the XRP ecosystem. One factor influencing market attention on XRP is ongoing regulatory scrutiny. The U.S. Securities and Exchange Commission (SEC) has delayed its decision on the XRP exchange-traded fund (ETF) application submitted by investment giant. Despite this setback, community sentiment remains highly optimistic. According to the sentiment tracker, 88% of community members currently hold a bullish outlook on XRP — a potentially encouraging sign for further upward momentum.
The recent surge in XRP's hot capital and the bullish community sentiment have led some analysts to predict that XRP could reach $5 soon if things remain positive post-ETF launch. However, it is important to note that this is an analyst's forecast and not a guarantee of future performance. The major resistance area for XRP is between $2.50 and $2.70, and the cryptocurrency has been gradually extending its gains as the market holds steady. XRP holds above critical support at $2.22, strengthened by the 100-day EMA.
The SEC's decision to drop its case against a crypto firm with ties to the former U.S. President also had a positive impact on XRP's price, which surged more than 10% following the announcement. This development, along with the broader crypto market movements, has contributed to the renewed wave of activity and speculation surrounding XRP. However, it is important to note that the future of XRP, like any other cryptocurrency, is subject to various factors and uncertainties, including regulatory developments and market sentiment.
