XRP Price Plummets as Trump Ends US-Iran Ceasefire

Ripple's XRP price dropped by 4.32% on July 8 to $1.07 as investors sold risk assets following President Donald Trump's statement that the US-Iran ceasefire is over.

The decline comes after Trump slammed Iran's leaders, calling them 'scum' and saying he doesn't want to deal with them anymore. The US had struck 80 targets in Iran on July 7 as a response to Iran attacking commercial ships at the Strait of Hormuz.

Trump also reimposed oil sanctions on Iran, which had been removed on June 17 when the two countries agreed on a 60-day ceasefire that was set to end on August 16. The price of oil has risen to its June 24 high of $74, but XRP's price is dropping as traders become concerned about the potential sell-off across the crypto market.

The ongoing geopolitical tensions have caused $8.61 million in long liquidations per Coinglass data, with this being the highest long liquidation seen by XRP since June 25. The price of XRP has moved below the 20-day EMA of $1.11, suggesting that the short-term trend is favoring bears.

Despite Ripple obtaining a license in Luxembourg on July 5 that enabled it to become fully compliant with Europe's MiCA laws, institutional demand for XRP remains weak. Spot XRP ETFs had zero inflows on July 6 and July 7 as the price dropped, while XRP futures products had 635 contracts traded on July 7, which is the lowest volume seen since June 12.