Ripple’s XRP token is in danger of falling below the $1 price again. The price of XRP suffered a similar blow on June 6, 2026, when it dropped to $1.06. The cryptocurrency bounced back from just above $1 after a bull run in the market. The rally, unfortunately was short-lived. Sudden volatility has swept through investors and XRP is getting a second look at its dire situation. Let’s discuss what could happen next.
Will XRP Fall Below $1 Or Rebound Again?
Early this year in May, the cryptocurrency market somewhat rebounded with Bitcoin (BTC) briefly moving back above $82,000. XRP also bounced back slightly but found major resistance at $1.55.
The market rebound, however, did not last. XRP has been on a downward trajectory for several months now. The crypto market began its descent in October 2025 after increased macro uncertainties. The US-Iran conflict added further fuel to the fire earlier this year. The first wave of recent outflows came after CPI (Consumer Price Index) data showed inflation in the US climbing to 4.2% in May 2026. The move led to the Federal Reserve deciding to keep interest rates unchanged.
XRP’s price was hit again after doubts around the US-Iran peace deal. If the peace deal does not follow through, the Strait of Hormuz could be closed once again. Such a development could lead to another energy crisis. If oil prices surge, the economy is bound to be strained further. Inflation may rise further and the Federal Reserve may decide to hike interest rates. XRP and other cryptocurrencies are among the riskiest assets in the market. These high-risk assets often take a hit when rates are hiked.
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Given the overall bearish market environment, there is a chance that XRP will continue on its current downward path. The asset may find some support just above the $1 mark, but may then enter a sideways trajectory.
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