XRP’s Market Movement

XRP has retraced a startling 24% after failing to maintain its rally. A general market decline has contributed to the downward pressure, leaving traders on edge due to uncertainty. Despite the decline, XRP remains above important support levels, so investors should monitor its future movements closely.

XRP peaked at around $3.10 but couldn’t sustain momentum, falling below $2.40. Currently, it trades at $2.37, just above crucial support at $2.30. The 200-day moving average may act as a safety net at $2.00, the next support level if $2.30 breaks. To regain bullish momentum, XRP needs to recover $2.50.

If it breaks through $2.75, a significant resistance, it could convert into support, leading to a serious attempt at $3.00. The recent pullback corresponds to broader cryptocurrency market corrections affecting other major coins like Ethereum and Bitcoin.

Market volatility has heightened following the U.S. declaration of a strategic crypto reserve, which initially spiked prices before a decline. XRP’s future hinges on its ability to hold above $2.30; prolonged declines could signal further decreases, while a bounce above $2.50 would indicate renewed buyer control.

Ethereum’s Outlook

Ethereum has seen a negative trend, plunging further and resulting in a pessimistic outlook for the second-largest cryptocurrency. Due to market volatility, ETH has dropped below $2,200, breaking through crucial support levels.

Currently trading at $2,104, Ethereum’s price has been severely impacted by recent market conditions. Despite a brief recovery attempt, ETH could not maintain momentum, indicating that bearish sentiment remains strong. A recovery above $2,300 is necessary to alleviate the downward trend.

Price volatility is a major concern, making it difficult for traders to pinpoint support and resistance levels. The next significant support for ETH is at $1,850; a decline below $2,000 could lead to further selling, pushing Ethereum towards $1,700.

Cardano’s Volatility Explosion

Cardano has experienced a dramatic surge in hourly volatility, marking one of its most significant trading sessions in years. Following the U.S. government’s announcement of a strategic crypto reserve, ADA saw sharp price swings.

In contrast to Bitcoin, ADA spiked above $1.15 before falling back to $0.81, with high trading volume reflecting speculative activity. The strategic reserve could increase capital rotation within the crypto market, enhancing liquidity for large-cap assets.

Notably, liquidity for major altcoins has increased, with the top 10 altcoins rising from 58% to 66% of total altcoin trading volume on U.S. exchanges in just a week. This illustrates the growing institutional interest in these assets.

ADA faces significant resistance at $0.90 and $1.00, with $0.75 serving as vital support. High volatility will likely lead to more pronounced price movements, potentially resulting in both short-term corrections or long-term bullish trends depending on market sentiment.