XRP entered a significant correction period in December with a sharp 15% daily drop, and the market is struggling to show signs of recovery. While the intense sell-off on South Korean exchanges and increasing political uncertainty led to XRP price fluctuations, the altcoin performed poorly compared to other major cryptocurrencies. XRP’s recovery potential is shaped by global market stability and the easing of selling pressure in South Korea.
XRP was trading at $2.2934 in early December and rose to $2.7237 on December 2. However, this peak was short-lived and the price quickly fell. On December 9, XRP lost a whopping 15.01% in a single day and fell to $2.2138, and it is still showing no signs of recovery. Over the past seven days, it has performed poorly compared to other major cryptocurrencies. Bitcoin is up 1.5%, Ethereum is down 0.2%, and Solana is down 8.3%. XRP has far outpaced these declines with a 9.4% loss.
XRP surged an impressive 366.3% during the previous bull run. However, large increases can often trigger profit-taking sell-offs, which in turn weighs on the market. Experts say the recent declines are largely related to profit-taking sell-offs and moves on the South Korean stock market.
The sharp decline in the price of XRP is due to a particularly intense sell-off on South Korean exchanges. According to a report, the sell-off, which began at 7:45 UTC on December 9, dragged the price of XRP from $2.6005 to $2.2064. On the same day, South Korea’s KOSPI index also fell to its lowest level in a month. Negative volume data on the XRP/KRW trading pair suggests that the sell-off started in Korean markets and affected global markets.
Political uncertainties in South Korea also had a negative impact on the market. President Yoon Suk Yeol’s declaration of martial law and his rejection by lawmakers damaged investor confidence, which was further deepened by the decline in the KOSPI index.
Although the XRP market has not yet broken out of its downtrend, it has the potential to recover. The easing of selling pressure on South Korean exchanges and more stable global market conditions could help XRP regain momentum. However, political and economic uncertainties and the general sentiment of the market will continue to shape XRP’s price movements.