XRP Price Slips Trump-Musk Clash And Weak XRP Technicals Hit Sentiment

Ripple XRP/USD is valued at $2.13 after slipping 2.72% in a day. It has dropped 2.29% in the last week, and is down 0.41% this month. The price drop caps a volatile week for the crypto market, which had rebounded after being rattled by a high-profile spat between President Donald Trump and former ally Elon Musk.

On Thursday, tensions escalated over Trump's "Big Beautiful Bill," with the dispute between Trump and Musk quickly turning personal and political. The exchange, played out in a series of viral social media posts, had an immediate impact on investor sentiment, triggering declines in XRP and other major cryptocurrencies.

XRP teetered on the verge of falling below its key $2 support level—a threshold it has held since December. A break below the level could open the door for further losses, with prices potentially sliding to as low as $1.50.

Elsewhere in the Ripple ecosystem, Bitget has introduced new trading pairs for Ripple’s RLUSD stablecoin, including one that pairs RLUSD with XRP. It is a part of Ripple’s strategy to increase RLUSD's reach and make it a substitute for other popular stablecoins such as USDC USDC/USD or Tether USDt USDT/USD.

RLUSD has a circulating supply of roughly 370 million tokens with a market capitalization of $369 million. Ripple has taken steps to manage supply, and has been burning 15 million tokens.

The MACD has gone negative, and the token is trading below major moving averages, indicating that more losses will come. Open interest and trading volume are both declining. It implies there are fewer participants in the market, and those who are involved are bearish.

In a day, over $4.4 million worth of long positions were liquidated, a sign that the recent price action has surprised a lot of traders. Short positions had much smaller losses.

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Despite the bleak short-term outlook, there's hope as the SuperTrend tool, used by traders to identify reversals, has flashed a buy signal. A rally is possible if XRP can reclaim levels above its key moving averages.

The market is waiting for an update from the SEC vs. Ripple case, which is expected to be issued on June 16. A favorable judgment could lead to an XRP rally. Court rulings are hard to predict, and even a win might not clear up all the XRP questions regulators worry about.

Ripple’s network is expanding as the company has joined the International Swaps and Derivatives Association, and introduced new compliance solutions.

Banks and payment services in Asia and Europe are using Ripple's systems to process international transfers. The long-term measures can be advantageous for XRP to bounce back.

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