XRP fell sharply on Thursday, December 11, wiping more than six billion dollars from its market capitalization as the token slipped below the two dollar threshold. XRP declined 3.57% over the past 24 hours to trade at $1.99, underperforming the broader crypto market , which fell 2.86% during the same period. CoinMarketCap data reviewed by Finbold shows XRP’s market cap dropping from approximately $126.65 billion to about $120.39 billion at the time of writing. The move represents a loss of more than six billion dollars within roughly sixteen hours, marking one of the steepest single day value drops for the token in recent months. XRP market cap chart showing $5 billion decline. Source: CoinMarketCap The downturn followed a volatile reaction to the Federal Reserve’s latest policy decision. The Fed cut interest rates by 25 basis points on December 11, a move that failed to support risk assets and instead triggered a broader pullback across cryptocurrencies. Bitcoin fell 2.8%, and sentiment weakened across altcoins as traders reduced exposure. XRP ledger on-chain analysis On chain data shows significant selling activity from large XRP holders. More than 500 million XRP has been distributed from whale controlled wallets over the past week, adding meaningful sell pressure during a period of soft network engagement. Activity levels across key indicators such as active addresses and transaction counts remain subdued, which has further weighed on confidence in the asset. XRP also lost its technical footing as the price failed to hold above the $2.10 support zone. The relative strength index has continued to weaken, while the Crypto Fear and Greed Index has dropped to 29, the lowest reading since October 2025. The combination of macro driven downside, whale distribution and declining network utility has created a challenging short term backdrop for the token. There are signs of counter momentum coming from institutional channels. XRP related ETF products continue to attract steady weekly inflows of about $190 million, signalling sustained interest from larger capital pools even as spot prices soften. For now, XRP’s outlook hinges on whether the market can stabilize above $1.90 and attempt to reclaim the $2.10 level once the immediate post FOMC volatility settles. The post XRP erases $6 billion in market value as price crashes below $2 appeared first on Finbold .
