Cryptocurrency XRP has been trading below the key level of $0.466 since April 26, reportedly due to a market sell-off sparked by blockchain analytics firm Arkham's alert of wallets linked to Mt. Gox and the U.S. government moving large amounts of Bitcoin.CryptoLaw founder John Deaton had revealed that he first bought XRP because of its use case for cross-border payments in 2016. Since then, XRP has been trading within a range around the crucial level of $0.466.

The impact of the alert on Arkham was short-lived as it was due to a "bug fix". John Deaton well-known for his CryptoLaw foundation also commented on the situation. He stated he bought his first BTC, Ethereum and XRP back in 2016 due to XRP’s utility for cross-border payments. Even more, Deaton mentioned how he bought further supplies of XRP in 2019 after Coinbase listed the cryptocurrency and showcased its use for international payments.

However, the bulls have not been able to reclaim the key level of the daily MA 50 at $0.466. Bears keep pushing XRP below the key level of $0.466, forcing XRP to trade at $0.459 as at the time of writing. XRP has fallen by 6.55% in the past week and continues to decline further.

Much of the drop in value could be due to the Chinese government reducing their demand of cryptocurrency, as well as the current attack in the U.S. government rather than embracing it. This, in turn, has had a direct effect on the price and limited XRP's utility on a global scale.

Overall, while John Deaton sees potential in XRP’s usage for cross-border payments, the market conditions are currently unfavourable and it could take some time before XRP returns to the price before the recent sell-off. Nevertheless, with plenty of optimism surrounding the crypto market, it could be possible for XRP to return to its all-time highs in the future.



Other News from Today