Over the past 24 hours, XRP has made a tiny rise, approaching the $0.35 threshold. As of this writing, one token is worth $0.3452, which is a 2% increase in the last twenty-four hours.
The small rise comes after the price of the token saw a sharp drop earlier today. The price fell from $0.3394 to $0.2998 in less than half an hour, which means that XRP saw an astonishing drop of 12% during this period.
After recouping a significant portion of the unexpected price drop, XRP now faces a price barrier of around $0.3444, which has yet to be breached. The release of one billion XRP from Ripple’s escrow account, which took place yesterday Sunday, is an event that often catches the attention of XRP investors on the first of the month.
It seems quite doubtful that this is the reason for the dramatic price drop, given the circumstances. Although the community has known about the activity for many years, there was still an element of surprise when it happened this time around.
In a related development, on the first day of the new year, whale alert published a report indicating that a total of one billion Ripple (XRP) tokens have been released from escrow accounts. Instead of being released directly from Ripple’s escrow accounts, the tokens were released from unidentified accounts. It’s an anomaly.
Coins that were previously frozen would be stored at addresses controlled by Ripple. This information comes from Bithomp. The tokens were not transferred to any exchange or other on-demand liquidity (ODL) platform; they are still stored in the previously mentioned wallets.
If the price of XRP is rising steadily, the next barrier to watch is around $0.3664, which is the second major resistance level. It may find support around $0.3333 if it cannot break above $0.3454. It seems unlikely that the price of the Ripple token will fall below $0.3250 without a substantial decline in its value.
However, the aforementioned support and resistance levels may change depending on the outcome of the SEC lawsuit against Ripple. However, the court’s decision could make these thresholds irrelevant or cause them to change. Let’s see what happens next!