What’s Behind Today’s Decline in XRP Price? Weak On-Chain Indicators Heighten $1.00 Concerns

XRP's price is under renewed pressure, despite Ripple's advancement towards enhanced institutional involvement with the decentralized finance (DeFi) sector. Currently trading at approximately $1.42, XRP has plummeted over 10% in the last 24 hours as the market shifts focus from corporate developments to deteriorating technical and on-chain indicators. This pattern of positive news not translating into price stability is becoming increasingly familiar. The latest downturn intensified when XRP fell below the $1.60 level, which previously provided short-term support. This breach triggered automated selling and stop-loss transactions, driving prices down to levels reminiscent of earlier market pullbacks. Recent technical analysis indicates that the selling pressure has been significant, with the Relative Strength Index nearing oversold territory, showing strong downward momentum rather than a gradual decline. Increased trading volumes during this downturn suggest that sellers are acting decisively. On-chain data reveals waning network activity and a lack of sustained accumulation at current levels, which in past corrections typically stabilized XRP's price. Analysts are now closely watching the $1.00 psychological support level, should the price fail to regain $1.60. While oversold conditions may lead to temporary rebounds, the overall outlook remains precarious without a shift in market sentiment. Despite the announcement that Ripple Prime has integrated with Hyperliquid, allowing institutional clients to trade on-chain perpetual futures while managing cross-margin positions, the price of XRP has not shown improvement. This integration aligns with Ripple's aim to bridge traditional finance and DeFi but does not stimulate an immediate demand for XRP. Contrasting trends are evident in the market, as Hyperliquid's own token, HYPE, has performed well following the integration, maintaining strength despite broader market weaknesses. This suggests a shift in investment focus towards platforms associated with institutional trading rather than established large-cap tokens struggling with technical challenges. Until a decisive influx of buyers is observed, concerns regarding a further drop in XRP toward the $1.00 level persist.