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After a strong rally earlier this month, the XRP price is down today. In the last 24 hours, XRP has dropped by 12.8%, falling from $3.49 to around $3.04. The sudden dip has caught many traders off guard, especially since XRP was one of July’s best-performing altcoins.
Why XRP Price is Dropping Today?
Profit-Taking After a Strong Rally
At the start of July, XRP was trading at just $2.17. Between July 2 and July 18, it surged by over 60%, peaking at $3.66 — its highest price this year. This strong run triggered a wave of buying interest, but also set the stage for short-term traders to lock in profits.
Once the price touched $3.66, it struggled to hold that level. It closed the day lower at $3.41, a sign that buyers were losing strength. Over the next few days, the price stayed within a narrow range, and eventually broke lower on July 23 with a single-day drop of over 10%. The selling has continued into today, pulling the price further down to $3.04.
Altcoin Season Index Is Weakening
Another reason behind the XRP drop is the shift in broader altcoin market sentiment. XRP’s performance often follows the trend of other large-cap altcoins. But in the past few days, Bitcoin dominance has started to rise again, meaning investors are rotating back into BTC and away from altcoins.
According to the CMC Altcoin Season Index, the altcoin market is losing steam. The index currently sits at 37, far below the threshold of 75 that signals a strong altcoin season.
XRP’s all-time high was $3.84, set back in January 2018. With the recent rally peaking at $3.66, XRP got very close to that level — and that likely triggered psychological resistance among traders. Breaking an ATH is never easy, and in many cases, assets pull back before retesting.
XRP Price Today
On the technical side, XRP is still holding above its 50-day EMA at $2.64, showing that the longer-term trend remains bullish. The RSI is currently at 55.81, indicating that XRP is not yet oversold, but no longer overbought either.
This suggests the current drop may be more of a healthy correction after a strong rally, rather than the start of a prolonged downtrend.
XRP price drop today appears to be driven by a mix of profit-taking, slowing altcoin momentum, and natural resistance near historical highs. While short-term traders might see increased volatility, the bigger trend for XRP still looks intact — as long as the broader market doesn’t reverse sharply.
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FAQs
XRP dropped due to a combination of profit-taking by traders, slowing interest in altcoins, and rising Bitcoin dominance. After a strong rally earlier this month, the market is now going through a natural correction.
Yes, on a broader scale, XRP still holds above its 50-day EMA, which suggests the long-term trend is not broken. The recent drop may just be a short-term correction after a strong run.
XRP reached a year-to-date high of $3.66 on July 18, its highest level since early 2018.
