$XRP

Factors Contributing to the Decline in XRP Prices

1. Decrease in Network Activity

Activity on the XRP Ledger has significantly decreased, with the number of daily active addresses dropping by up to 50% since December 2024. This decline reflects a decrease in user interest and negatively impacts the price of XRP.

2. Selling Pressure from Large Investors (Whales)

Large investors (whales) have sold off a significant portion of their XRP holdings, adding to the selling pressure in the market.

3. Regulatory Uncertainty

Although Ripple reached a settlement with the SEC in 2024, uncertainty continues as the SEC appeals and delays the approval of the XRP ETF. This creates doubt among institutional investors.

4. Profit-Taking by Short-Term Investors

After the surge in XRP prices at the end of 2023, many short-term investors took profits, contributing to the selling pressure in the market.

5. Decline in Liquidity and Trading Volume

Daily trading volume of XRP has decreased, indicating reduced investor interest and liquidity in the market.

🔮 Future Prospects

Although currently facing selling pressure, some analysts believe that XRP has the potential to recover, especially if there are positive developments in terms of regulation or institutional adoption.