Quick overview

Live XRP/USD Chart

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President Donald Trump’s announcement of higher tariffs on China triggered a wider cryptocurrency market crash, causing XRP to drop below $2 today. Over $150 billion was wiped from the global cryptocurrency market cap in less than an hour due to a sharp sell-off across major assets. XRP was hit particularly hard, falling nearly 28% in a single day to below $2 before partially rebounding to $2.4.

 

Trump’s statement also caused Bitcoin to decline more than 12 percent, even though market weakness had already been evident going into Friday. As of Friday evening in New York, the largest token, which earlier this week reached an all-time high of over $125,000, was trading just below $113,000.

Data from Coinglass shows that over 11.6 million traders were liquidated and bets totaling over $19 billion were erased in the last day.  Over $7 billion worth of positions were sold. Coinglass stated that since exchanges do not always report such orders in real time, the total could be significantly higher.

The effective date is significant because Presidents Trump and Xi of China will meet from October 31 to November 1 at the APEC Summit. It is noteworthy that XRP and the market overall have recovered from session lows, suggesting optimism that the US and China will avoid a full-scale trade war. However, traders are likely to feel anxious in the days ahead. China’s potential actions and reciprocal tariff increases may dampen hopes for a possible agreement between Trump and Xi.

 

While gold rose by 1%, the Nasdaq Composite Index fell by 3.56, excluding the cryptocurrency market. Despite the negative impact of a full-scale US-China trade war on risk assets, the anticipated introduction of XRP spot ETFs provided much-needed support. In response to China’s plans to impose export restrictions on rare earth minerals starting November 1, President Trump made the following statement.