XRP, the native token of the XRP Ledger, has fallen below the $1 mark as the cryptocurrency market contends with elevated levels of fear. The decline comes amid a broader sell-off across digital assets, with Bitcoin — the largest cryptocurrency by market capitalization — also dipping below the $70,000 level. Round-number levels such as $1 are often watched by traders as psychological thresholds, and moves through them tend to draw heightened attention during broad market sell-offs.

Market sentiment has deteriorated sharply. The Crypto Fear & Greed Index, a widely tracked sentiment gauge that runs on a scale from 0 to 100, currently registers between 13 and 20 — a reading that sits firmly within the "Extreme Fear" band and reflects deep pessimism among market participants. On the gauge's standard classification, readings below 25 fall into the Extreme Fear category — the lowest of its five bands — meaning sentiment is currently registering at the most pessimistic level the index displays.

Derivatives data suggest that leveraged selling played a significant role in XRP's price movement. According to CoinGlass, an aggregator of cryptocurrency derivatives data, approximately $16.94 million in XRP positions were liquidated over the past 24 hours. Liquidations occur when exchanges forcibly close leveraged positions after margin requirements are breached, and such events can amplify downward price pressure during periods of market stress.

For background, XRP serves as the native asset of the XRP Ledger, a blockchain network that has been in operation since 2012 and is closely associated with the payments company Ripple.

Current market pricing indicates that participants see a moderate likelihood of XRP reaching $3 in November.

What to Watch

Attention will likely center on developments across the broader cryptocurrency market, particularly Bitcoin's performance, which could influence XRP's price trajectory. Any changes in the Crypto Fear & Greed Index may offer further insight into evolving market sentiment. Ripple-related news, including legal or regulatory developments, could also impact XRP's price and potentially affect its chances of reaching higher price targets by the end of November.

Source: CryptoBriefing