Ripple Labs recently emerged victorious in its legal battle against the Securities and Exchange Commission (SEC). This legal win, however, did not have the anticipated positive impact on the price of XRP. Despite the favorable outcome, XRP is facing significant challenges. The current market turmoil has pushed XRP's price down to $0.4734, marking an 11.67% decline for the month.

Prior to this recent decline, XRP was already struggling, and the situation has now worsened. The supply of XRP has reached its lowest levels in months, leading to a continuous decrease in its price.

Reduced XRP Sell-offs

The amount of XRP available on exchanges has plummeted to 2.84 million, valued at $1.34 million based on current market prices. This drop represents the lowest level since January 1, indicating a reduction in the number of XRP tokens held on crypto exchanges.

Several reasons could explain this phenomenon. Investors might be transferring their tokens to hardware wallets for better security, staking them on decentralized finance (DeFi) platforms, or simply holding onto them in anticipation of a future price surge.

Investors have recently suffered substantial losses with their XRP investments in the past 11 days, amounting to over $30 million. This decline is attributed to extensive token liquidation during a market downturn, signaling a worrying trend of market capitulation.

XRP Price Evaluation

XRP's daily price performance illustrates a diminishing demand for the altcoin. Concurrently, the Chaikin Money Flow (CMF) currently stands at 0.06, tracking the flow of money in and out of the market. A negative CMF signals market weakness, indicating that capital is exiting the market, potentially leading to further price declines.

Additionally, the Moving Average Convergence Divergence (MACD) for XRP displays a bearish trend. The MACD line (blue) is positioned below the signal line (orange) and the zero line, reinforcing the negative market sentiment.

Despite these indicators, the recent price movements of XRP do not suggest a significant recovery in the near future. Presently, XRP is valued at $0.47, reflecting a 0.8% drop in the past 24 hours.