After rallying to a multi-week high of $1.60, XRP price crashed amid a market-wide downtrend triggered by escalating geopolitical and macroeconomic tensions.

According to data from crypto.news, XRP (XRP) price fell 4.4% over the past 24 hours to $1.46 at the time of writing, extending its losses to over 8% from its weekly high of $1.60.

XRP price dropped amid deteriorating market sentiment for risk assets as Bitcoin fell below the $70,000 support, sparking market concerns of a potential drop to $60,000 next. This occurred as investors turned cautious amid rising oil prices that followed Israel’s drone strike against one of Iran’s largest gas facilities at South Pars.

The altcoin’s drop also follows bearish macroeconomic signals after the Federal Reserve Chair Jerome Powell’s latest speech cast doubt on further interest rate cuts over this year, as the central bank intends to maintain a data-driven approach amid stubbornly sticky inflation.

While the market has not yet recovered from the shock, with the crypto market cap still struggling at the time of writing, a few metrics that have strengthened seem to point to a long-term silver lining for XRP.

Notably, on-chain tracker Santiment recently shared that XRP holders have climbed to a new all-time high of 7.7 million wallets, a sign of growing adoption despite the price volatility. 

At the same time, daily active addresses on the network have risen to a 5-week high of 46,767 active addresses this week.

Together, these metrics mean the underlying utility and network participation are robust, which could sustain demand once the broader market stabilizes.

As reported by crypto.news earlier, whales have also entered an accumulation phase after months of distribution. Typically, such shifts often precede broader market recoveries as retail investors follow smart money flows.

XRP price analysis

On the daily chart, XRP price has formed an Adam and Eve pattern, a highly reliable bullish reversal pattern in technical analysis. XRP price touched the neckline of the pattern at $1.60 earlier this week but has since pulled back. A confirmed breakout could spark a massive rally, at least in the short term.

The 20-day SMA appears to be closing in on a bullish crossover with the 50-day SMA. At the same time, the MACD lines have pointed upwards, suggesting that bullish momentum is quietly building beneath the surface.

For now, traders will be keeping an eye on the $1.50 psychological resistance, a break above which could embolden bulls to target a breach of $1.60, which would also confirm the Adam and Eve pattern. The next potential target would be the 100-day SMA at $1.70.

On a bearish note, a drop below $1.44, the 50-day SMA, could invalidate the bullish prediction.