XRP sharply declined below the $2 mark on Monday, April 7, 2025, falling to $1.6775 in a rapid market downturn. The drop represents XRP’s lowest trading level in five months and has raised concerns across the cryptocurrency sector.
Global economic pressures emerged after the United States significantly changed its trade policies, which caused immediate market deterioration. On April 2, President Donald Trump introduced a wide-ranging tariff package targeting imports from China, Mexico, and Canada.
The policy revealed a 20 percent duty on all Chinese imports while implementing taxes against steel, aluminum, and motor vehicles.
Financial markets reacted with broad sell-offs as risk sentiment deteriorated. Cryptocurrencies, considered high-risk assets, were among the hardest hit. XRP, in particular, dropped more than 16 percent within 24 hours and over 25 percent in the past month.
Also Read: Here’s What to Expect After XRP Crash, Expert Explains
The XRP price suffered a considerable loss after $47 million worth of XRP long positions were forced to sell, as per Coinglass data reports. The combined crypto market experienced $968 million in total liquidations, with Bitcoin losing $321 million and Ethereum losing $269 million.
XRP’s 24-hour trading volume surged to $7.65 billion, rising by 261 percent. Despite high activity, the price continued to fall under mounting selling pressure. The market capitalization of XRP now stands at $102.5 billion, down 17 percent in a single day.
Wider Crypto Market Feels the Impact as Risk-Off Mood Spreads
The digital asset market remains on edge as investors move away from speculative investments amid concerns about inflation and slowing global growth. Ethereum is now trading at $1,499.56, while Bitcoin has dropped to $76,475.24. Both are facing multi-week lows and further signs of weakness.
XRP remains vulnerable to widespread crypto market fluctuations since it demonstrates strong correlations with these more significant trends. Experts ‘ short-term price analysis indicates macroeconomic conditions will continue to drive XRP downward.
Investors observe the market to determine whether the $1.60 support zone will create a base for price recovery.
Market participants caused the sharp price drop below $2 after they reacted to rising economic uncertainty and global trade tensions. XRP’s price movement in the approaching months may strongly respond to general market alterations due to ongoing support level assessments and persistent economic instability.
Also Read: Crypto Market Plunges as Massive Sell-Off Triggers One of the Worst Crashes of 2025
