Although Ripple unlocked 1 billion XRP from its escrow system and then re-locked 80% of that amount into two escrows in an effort to increase liquidity, XRP’s market capitalization still dropped by more than $1 billion in a matter of days as the sell-off in the cryptocurrency sector continued.
Market cap for XRP peaked on September 4 at $26.58 billion, according to data received today, September 11 from cryptocurrency market tracker CoinMarketCap, but has since fallen to $24.98 billion, a loss of $1.6 billion.
Meanwhile, XRP has fallen in value to $0.4716, reflecting a dip of 4.79% over the last 24 hours, 5.62% for the past 7 days, and 24.53% over the course of the past month, as shown by the most current data.
At the time of writing, the sixth biggest cryptocurrency by market capitalization has the most support at the price of $0.485051 and the most resistance at the price of $0.514243.
Coincidentally, the decline started around the same time that Ripple released a billion XRP into circulation in a series of transactions on September 1. This was the company’s latest attempt to increase the token’s liquidity and increase its use since 2017.
Afterwards, on September 5th, the blockchain business relocked 800 million XRP, or 80% of the previously unlocked total, into two separate escrows, holding 200 million of the token for itself, which it may deploy to the market at any point, possibly affecting the token’s price in the near term.
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