The cryptocurrency market is under continued selling pressure, with major altcoins experiencing an average drop of 5% over the past 24 hours. Despite previous attempts at recovery, the market’s overall sentiment remains weak, with critical levels still intact but vulnerable.
XRP Struggles Amid Sustained Downward Trend
XRP continues its long-term downward trajectory, trading near the $1.2 threshold after slipping below it. A minor short-term rally towards $1.25 may occur, yet the overall outlook suggests deeper market weakness. Data from November 5 indicates over $12 million in long positions were liquidated, reflecting increased buy interest that was swiftly met with selling. Trading volume trends also highlighted the insufficient backing for any short-lived recovery attempts.
XRP’s short-term optimism is overshadowed by a persistent long-term downtrend, with the $1.25 region serving as a temporary halt.
On November 4, at 14:52 UTC, the XRP Ledger implemented the fixCleanup3_4_0 update, resolving a vulnerability that allowed accounts with permission to burn tokens to issue the same assets under specific conditions. The update did not affect XRP’s native supply. Known as the open-source blockchain infrastructure tied to the Ripple ecosystem, the ledger shows signs of growth, yet the on-chain activity primarily stems from automated trades, suggesting speculative interest over fundamental use drives market behavior.
Hyperliquid Application Fails to Halt HYPE Decline
On November 5, HYPE fell by about 9%, dropping below $80, despite Hyperliquid Strategies announcing its application to become a registered futures commission merchant in the United States. Approval could facilitate direct client access to its perpetual futures market. Alongside, the company reported a quarterly net income of $620 million, which includes $803 million in unrealized HYPE earnings. Still, the price action indicates that regulatory developments failed to sway market perception in the short term.
While Hyperliquid’s regulatory filings and earnings report stand out, the immediate selling pressure on HYPE persists.
Currently, technical outlook identifies the $77 mark as a potential short-term recovery point. Yet, if sell-off momentum strengthens, the $68 zone emerges as the next critical level. Despite early November’s surge, maintaining a pattern of lower highs indicates weakened upward momentum.
Stellar Prepares Update Amidst Weak Price Performance
Stellar‘s token, XLM, has dipped towards $0.157. While the price action suggests a sideways transition or accumulation phase, the moving averages hint at an accelerating downtrend. The late October death cross also raises bearish signals. On the network side, Protocol 30, known as Bell, was scheduled for deployment on the testnet on November 3. The update introduces post-quantum signature verification for smart contracts and millisecond ledger timestamps.
Mini glossary: Post-quantum signature verification refers to a security approach developed in anticipation of future quantum computers challenging classical encryption methods. The testnet is where such updates are trialed before deployment on the live network.
To enable user access to the updates on the live network, validator voting is scheduled for November 23, at 17:00 UTC. The overall weak market situation was accompanied by the liquidation of 500,000 XLM long positions, a figure unlikely to significantly impact prices considering total exchange volume.
