Ripple’s XRP price was above the $3 level but slid in the charts in October. After the recent market crash, when Trump imposed 100% tariffs on China, the leading altcoin plummeted to the $2.3 range. It rebounded on Wednesday, hitting $2.50 and surged 2% in the day’s trade.
The dip in Ripple’s XRP price indicates that the altcoin could experience more downturn. The dangers come after its 24-hour trading volume declined by over 40% this week. The daily trading volume stood at $10 billion last week but is now at $6 billion.
The development indices reduced trading activity that could affect Ripple’s XRP price moving forward. In this article, we will highlight three reasons that could push the altcoin to the $1 level.
Also Read: Russia Likely to Pick XRP for Cross-Border Payments, Ripple Expands in Africa
Why Ripple’s XRP Price Could Fall To $1?
1. SEC Regulatory Rejection
If the US Securities and Exchange Commission (SEC) rejects the XRP ETF, Ripple’s native token could fall in price. Several traders took an entry position in hopes of the SEC approving the ETFs, and the decision is scheduled for November. A rejection could make the altcoin brace for impact, threatening the $1 level.
2. Escalating Trade Wars
Trump’s trade wars are escalating, showing no signs of getting back to normal. The US President imposed 100% tariffs on China, and the markets tanked on Friday. If the trade wars continue, the broader financial market, including Ripple’s XRP price, could face volatility. This risks the altcoin’s price action and points towards the $1 range.
Also Read: XRP News: Friday Might Be the Start of a Huge Run For Ripple
3. Technical Analysis
If the above points play out, Ripple’s XRP price could fall to the $2 range. However, if it fails to hold on to its resistance level, the altcoin could reach a low of $1.50. Things could only get worse from here, as it would trigger a domino effect of selling. The exits and panic-selling could eventually push it to the $1 level.
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