30s Summary

XRP has suffered a 5.3% fall in value over 24 hours, more than the overall crypto market’s 3% decrease. Ripple co-founder Chris Larsen’s $10m XRP donation to support Kamala Harris’s presidential campaign has raised concerns among investors that the cryptocurrency might be sold off. Slow US interest rate cuts have also been a factor in XRP’s fall. In addition, selling pressure on XRP’s 50-day and 200-day exponential moving averages threatens to further depress the price.

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XRP, one of the top cryptocurrencies, has taken a hit recently, dropping 5.3% over the last 24 hours, making it the worst performer compared to the general crypto market, which slipped by 3%. A few factors contributed to this, including a multi-million dollar donation from Ripple (XRP’s creator) to Kamala Harris’s presidential campaign, and concerns about slow interest rate cuts in the US.

Chris Larsen, the co-founder of Ripple, recently donated a whopping $10 million in XRP to support Kamala Harris’s US presidential campaign. He confirmed this donation to Future Forward USA, a group that backs Kamala Harris. This comes on top of an earlier $1 million donation by Ripple to the same group.

This move raised a few eyebrows among XRP investors, with some worrying that Kamala Harris might sell off all the XRP from Larsen’s donation. They fear this would negatively impact them as current XRP holders. Some folks also noted the Democrats’ lack of support for cryptocurrencies, adding more tension to the mix.

On top of that, there’s also some overall market action that could be affecting XRP’s price. Apparently, traders are thinking the Federal Reserve might not be cutting interest rates as quickly as expected due to how well the US economy is doing. Lorie Logan, Dallas Fed President, seemed to suggest this in a recent speech, adding to this speculation. Slower interest rate cuts would mean reducing the appeal of assets like XRP that don’t yield any returns.

The technical aspects of the market aren’t favoring XRP either. Currently, there’s significant selling pressure around its 50-day and 200-day exponential moving averages, both at around the $0.55 level. If XRP doesn’t manage to rise above these averages, we could see the price drop to $0.50, harming investors’ returns.

Remember though, investing always involves risk, so always do your homework before making any financial decisions.

Source: Cointelegraph