XRP surged to $3.666 this week, marking its highest price level since 2018, as capital rotated from Bitcoin into major altcoins amid relative market stability. The milestone followed a broader trend of institutional and retail investors diversifying into top-tier alternative cryptocurrencies.
Trading activity has subsequently declined, with XRP’s 24-hour volume dropping 42% to $4.04 billion. Analysts interpret this volume contraction as signaling heightened caution among traders and potential market consolidation, with profit-taking contributing to a pullback from recent highs.
The altcoin sector now shows signs of short-term fatigue, reflected in XRP’s retracement. Market participants are closely monitoring the upcoming U.S. Federal Reserve interest rate decision, which could trigger volatility across cryptocurrency markets.
While Bitcoin’s relative price steadiness had supported recent altcoin inflows, external macroeconomic factors remain key variables. Investors continue assessing how monetary policy shifts might influence XRP and other digital assets amid unpredictable market reactions.