XRP Price Drops 4% Amid Market Correction, Analysts Predict Future Gains

XRP's price experienced a 4% drop, losing its $2.0 support level amid the market correction. It has decreased by nearly 18% from its January 6 high of $2.40.

Key Market Dynamics

XRP briefly consolidated between $2.05-$2.06 before falling to an intraday low of $1.906, rebounding to $1.97.
Open interest dropped 10% to $3.58 billion, while trading volume surged 166% to $3.66 billion.
Despite volatility, some investors are optimistic about XRP's long-term prospects.

Analysis and Forecast

Crypto analyst Crypto Patel notes XRP is trading above a multi-year breakout zone on higher-timeframe charts.
XRP has increased by 600% since breaking out near $0.60, potentially setting up for another major move.
A descending wedge breakout from 2020 to 2024 is identified as a technical catalyst.
The current focus area is between $1.90 and $1.30; maintaining above $1.30 keeps the bullish structure intact.
Upside targets are $3.50, $5.00, $8.70, and $10, but closing under $1.30 could invalidate this outlook.

XRP ETF Inflows

Spot XRP ETF inflows continue consistently despite price pullbacks.
Net inflows increased by $1.12 million on January 16, with cumulative net inflows at $1.28 billion.
Grayscale’s GXRP ETF added $287 million in inflows, Bitwise’s XRP ETF added $310 million, both reaching $291 million in assets.
Year-to-date, spot XRP ETFs attracted over $108 million, with total assets exceeding $1.52 billion.

For more details, refer to the original article on Coinspeaker.