XRP Plunges 24.6% in 24 Hours: Can It Recover?

XRP, the native cryptocurrency of the Ripple network, has experienced a significant price drop in recent days, sparking concerns among investors about the extent of the decline. The price of XRP has fallen by over 24.6% in just 24 hours, following news of former U.S. President Trump's tariff war and Ripple's 400 million XRP unlock, valued at around $1.136 billion.

This sudden price drop has raised questions about the future trajectory of XRP. Historically, XRP has underperformed in the month of February, with an average return of -3.00% since 2014. While experts remain optimistic about XRP's long-term prospects, the current market conditions suggest a challenging outlook for the cryptocurrency.

Analysts have identified key support levels for XRP, with $2.30 and $1.90 acting as crucial indicators. Renowned analyst EGRAG CRYPTO has warned that XRP's vulnerability could lead to a drop to $2.30, with $1.90 serving as the last line of defense. Meanwhile, crypto analyst Ali Martinez has pointed to the TD Sequential indicator, which had signaled a sell-off a week ago, underscoring the risk of further declines.

The future price movement of XRP will depend on how it reacts to support zones. If XRP can hold above $2.30, a recovery may be possible. However, a break below $1.90 could lead to a deeper sell-off. Despite the recent 15% drop to $2.43 and rising trading volumes, XRP's Relative Strength Index (RSI) is 34, indicating a potential bullish momentum ahead.

Experts remain divided on XRP's immediate future, with some predicting a potential rally back to $4, while others anticipate a more prolonged downturn as the legal case involving Ripple and the U.S. Securities and Exchange Commission (SEC) remains unresolved. Despite the sell-off, XRP is still viewed as having long-term growth potential.