XRP faced a sharp price drop following the recent announcement from VERT regarding a $130 million tokenization initiative. This led to significant liquidations in the market.
Sharp Decline in XRP Price
On July 24, XRP's price fell by 12.22%, bringing it down to $3.04. The decline occurred just a day after VERT announced its tokenization program on the XRP Ledger, which failed to generate the expected market reaction.
Market Reaction Fails to Meet Expectations Post VERT Integration
It was anticipated that XRP would rally following VERT's decision to tokenize, but this did not happen, leading to one of the largest long squeezes in the crypto market for 2025. Over the past 24 hours, more than $112 million was liquidated, with $105 million belonging to traders who had been betting on price increases.
Golden Cross Formation Suggests Possibility of Recovery
Earlier, on July 21, XRP formed a golden cross, indicating the 50-day moving average crossed above the 200-day average. A similar pattern last occurred in August 2024, preceding a prolonged price surge. Analysts suggest that if XRP maintains its current support and breaks the $3.39 resistance, it could advance towards approximately the $6 mark.
While XRP has shown a significant decrease, technical indicators such as the golden cross formation and cup-and-handle pattern may suggest potential recovery in the future. However, a lack of new buying interest may limit short-term gains.
