XRP Sees 9% Decline: Profit Hunters in Action?

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XRP faces a 9% setback from its record-high $3.41 value on January 16th, with profit-taking activities on the rise.

It seems like our bold XRP investors are cashing out, sending the cryptocurrency’s price on a journey southward in the near term.

High-Five for Profit, Downward Pressure on Price

The data is in, and it shows that those who bought low on XRP are now laughing all the way to the bank. According to Santiment’s Network Realized Profit/Loss (NPL), XRP holders have been selling their tokens for a tidy profit recently. 🤑

The NPL measures how much profit or loss a coin holder has “realized” by selling or moving their assets. It’s all sunshine and rainbows when the number is positive, meaning more owners sold for a gain than a loss, kick-starting that selloff we’re witnessing.

Moreover, XRP’s Exchange Flow Balance has surged by a whopping 105% since January 17th, the day after its all-time price record. 📈 This spike indicates a sharp rise in tokens being deposited onto exchanges, suggesting that traders are gearing up for another round of selling, which can only lead to lower prices.

Could $2.45 Be XRP’s New Reality?

If the bearish trend continues, brace yourself for a potential dip: at press time, XRP’s price is hanging at $3.09, but it might be heading towards $2.45, where we find a strong defensive wall. 🏰

If theCrypto community manages to calm those profit-hungry beasts, XRP might just claw its way back up, attempting to reclaim that all-time high with a vengeance!

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2025-01-21 15:33