Recent tariffs announced by President Donald Trump have led to a significant upheaval in the cryptocurrency sector. Major digital currencies including Bitcoin (BTC) have experienced sharp declines, with Ripple’s XRP dropping below the critical $2 mark. Reports indicate that on the Binance exchange, XRP’s value plummeted to $1.98 before slightly recovering to around $2.05. This downturn has resulted in staggering losses exceeding $20 million for XRP stakeholders, as CoinGlass data reveals that roughly 63% of recent liquidations within the altcoin sector came from long positions.
XRP Investors Anxious: Will the Decline Continue?
Experts suggest that XRP’s recent downturn isn’t merely a reflection of a general market trend but is also shaped by its own internal factors. Despite positive forecasts from well-known trader John Bollinger about XRP’s potential to influence the market, the altcoin’s upward movement has substantially weakened. Following a strong performance in the last quarter of the previous year, XRP has suffered significant losses in the first quarter, diminishing investor enthusiasm.
Technical analyst Peter Brandt has cautioned that if XRP slips below the critical support level of $1.90, it may enter a deeper downtrend. In such an event, Brandt predicts an alarming potential drop to $1.07. For XRP to regain momentum, experts note it must break past the $3 barrier.
Trump’s Tariffs Accelerate Shift from Cryptos to Gold
The new tariffs have intensified worries over global economic stability, causing investors to pivot away from high-risk assets. In the wake of a steep fall in cryptocurrency values, many are now gravitating towards gold, viewing it as a safer investment alternative. This shift has driven gold prices to reach an unprecedented high of $3,200 shortly after the tariff announcement.
Experts caution that market uncertainty may linger, advising investors to proceed with caution. The cryptocurrency market could continue to exhibit volatility due to the economic anxieties sparked by Trump’s tariffs.
– XRP’s price drop linked to internal market dynamics.
– If it dips below $1.90, experts foresee a potential decline to $1.07.
– Gold prices surged post-announcement, reaching $3,200.
This spike in gold prices highlights a notable trend as investors seek stability, with the cryptocurrency market facing ongoing turbulence influenced by external economic pressures. The situation remains precarious, leaving many to reevaluate their investment strategies in light of the current climate.
