XRP's recent movement is indeed quite interesting. It dropped to $2.20 within 24 hours, a decline of only 2.3%, but what catches the eye is that trading volume was directly cut by 20%, now only around $6.1 billion. What does this phenomenon usually indicate? Is the market brewing a big move, or is it just a simple technical correction?

Let's look at this from several angles. First, the price being stuck at the $2.20 level is a bit odd—many large investors seem to be watching from here, or waiting for some signal. The simultaneous decline in volume often indicates that institutional investors are quietly withdrawing; they might be waiting for the Ripple and US SEC lawsuit to have a result. This kind of wait-and-see mentality is quite common.

On the technical side, the pattern looks like accumulation. Some say this is a precursor to a head and shoulders bottom, while others think a death cross is about to appear. Honestly, just looking at the candlestick patterns, it's hard to guess whether it will go up or down next; it mainly depends on when market sentiment will explode.

But there's a more complicated aspect here. XRP is currently facing dual pressures—on one hand, regulatory risks are always hanging over it; on the other hand, the overall altcoin market is sluggish and lacks heat. Plus, the Federal Reserve hasn't signaled a clear rate hike, so the entire crypto circle is waiting for the shoe to drop.

However, don't narrow your focus too much. Recently, Ripple has been negotiating some cooperation deals in Europe, but these news haven't fully fermented yet. Meanwhile, changes in the Ethereum ecosystem could also divert some funds. So whether this decline is a shakeout, a correction, or the start of a new trend, it's too early to draw conclusions. If you really want to get involved, you need to wait for more confirmation signals.

Do you think XRP will first drop to $2 or rebound back to $2.5?