Will XRP Price Crash Below $1 Amid the Crypto Market Sell-Off

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XRP’s sharp 17% fall did not happen because of bad news from Ripple. The real reason was a broader crypto market crash. Bitcoin price fell quickly, and Ethereum dropped below the important $2,000 level. Investors across the market rushed to sell and cut their risk.

XRP usually moves faster than most large cryptocurrencies. So when the market turned negative, XRP fell harder and faster than others.

Once prices started dropping, panic selling kicked in. More sellers entered the market, pushing the price down even further in a short time.

Heavy Liquidations Triggered the XRP Sell-Off

The biggest reason behind the XRP price drop was forced liquidations. In the last 24 hours alone, nearly $46 million worth of XRP positions were closed automatically. Most of these were traders who had bet on XRP prices going higher.

When XRP fell below the key level near $1.44, many of these trades were shut down by exchanges. This added more selling pressure and caused prices to fall even faster.

In markets with high borrowing and leverage, once selling starts, prices often keep falling until the most risky positions are cleared.

Ripple’s Positive News Couldn’t Save XRP Price

This drop confused many investors because Ripple recently secured important regulatory approvals in Europe, including licenses in the UK and Luxembourg. Normally, such news would help XRP prices.

However, during a market-wide selloff, investors focus more on fear and safety than long-term progress. Right now, XRP is moving based on short-term market emotions rather than Ripple’s business growth.

Key XRP Support Levels to Watch Next

The $1.00 price level is now the most important support for XRP. If the crypto market stays weak, a move toward this level would not be surprising.

XRP could briefly dip below $1.00 if panic selling returns, but a long-term fall below this level would likely need another major wave of selling across the market.

Meanwhile, analyst Bill Morgan’s comment about XRP possibly dropping below USDC in market value highlights how fragile investor confidence remains.

Why XRP Recovery Is Still Possible

Despite the sharp fall, large investors are not panicking. XRP ETFs are still seeing money flow in, even during the price drop. This is very different from Bitcoin ETFs, which have faced strong outflows.

XRP’s recovery will largely depend on whether Bitcoin and Ethereum stabilize. If the overall market calms down and price swings slow, XRP could bounce back faster than many expect.

With better regulation, steady interest from institutions, and lower risky trading activity, this drop may turn out to be a short-term reset rather than a long-term downtrend.