XRP rally reverses, tariff risk triggers market correction

TokenomicsTrapper · 2026-01-21T10:40:11+00:00

XRP recently retreated to $1.89, down 5% in the past 24 hours, erasing all gains since the beginning of the year. This wave of correction was mainly triggered by market risk aversion caused by Trump's new tariff threats against European countries. Despite the shift in market sentiment, it still provides investors with a low-entry opportunity.

TokenomicsTrapper

2026-01-21 10:40:11

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【Crypto World】XRP has retreated from its strong start in early January, currently trading around $1.89. In just 24 hours, it has fallen by 5%, erasing the gains made since 2026. Even more concerning, from the high of $2.35-2.40 at the beginning of the year, XRP has plunged over 20%.

What is behind this wave of correction? The market generally points to the international trade situation. Former US President Trump recently issued new tariff threats against several European countries, triggering a chain reaction in global financial markets. Risk aversion sentiment quickly spread, with investors selling off risk assets, and XRP naturally was not spared.

From a technical perspective, XRP’s continuous pullback after breaking the early-year high indicates a shift in market sentiment. However, this macro-driven volatility often creates low-entry opportunities for savvy traders.

XRP1.83%

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TokenDustCollector

· 4h ago

Oh no, it's the tariffs again, the crypto world is just following to be sacrificed --- A 20% plunge... I told you it was too early to buy in --- Is there a chance for a low-buy? Come on, I’m just waiting for it to keep falling --- As soon as Trump opens his mouth, our XRP shrinks. How do you make this deal? --- Don’t talk about being a savvy trader, everyone is just cutting losses --- Fallen from 2.4 to 1.89, this blow caught us off guard --- Risk assets are being sold off, how can XRP be immune? --- I feel this is just the beginning, it will go even lower --- A 5% drop in 24 hours isn’t a big deal, but the psychological expectation has shattered --- Before the tariff issue is resolved, the crypto market is probably out of luck

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DiamondHands

· 4h ago

Trump's every statement causes the whole world to kneel, and XRP is even caught in the crossfire. This rhythm is unmatched. --- It's both risk aversion and tariffs, but honestly, it's just an excuse. Those who wanted to cut losses already did. --- A 20% drop... I need to think again about whether to buy the dip. --- Is this a buying opportunity? Let's wait and see, it doesn't feel like it has bottomed out yet. --- Playing XRP in this environment requires a lot of resilience; the mental test is real. --- The threat of tariffs affecting the crypto market so much shows that everyone still considers it a risk asset. --- Anyway, I've already cut losses. Now I just watch for entertainment. --- Falling from 2.4 to 1.89—many people probably got liquidated in this drop. --- This is what macro factors bring; small investors' lives are too tough. --- Will there be a rebound after Trump's hype dies down? I'm thinking about buying the dip.

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ApyWhisperer

· 4h ago

Whenever Trump farts, the crypto circle has to shake... A 20% plunge is indeed a bit harsh. Is there a chance to buy the dip? I'm thinking it might need to fall even further.

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LiquidityWhisperer

· 5h ago

Another round of market downturn caused by fundamentals, as soon as Trump speaks, XRP drops along with it. Hilarious. Is this a buying opportunity? Come on, who dares to buy the dip at such times is the real brave one. That 20% drop isn't that hopeless, the key is whether you can hold your nerve and not act. Breakouts followed by pullbacks, the rhythm is really chaotic... Macro factors are truly unbeatable. Wait a couple of days for Trump to settle down before considering entering the market; it's easy to get repeatedly cut if you jump in now.

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