I noticed XRP's collapse this week, and the price dropped below key support levels. It reached its lowest point since October of last year, and technical data indicate more downside is coming.

The interesting thing here is that David Portnoy, founder of Barstool Sports, bought the dip heavily. In a Friday live broadcast, he said he invested an additional one million dollars in XRP and 500,000 dollars in Bitcoin. He follows a dollar-cost averaging strategy and quotes Warren Buffett about buying assets when there's blood in the streets.

But the market is generally weak. Bitcoin's price in dollars has fallen from 99,000 to 77,610 dollars currently, and Ethereum has dropped below 2,500 dollars. The total market capitalization has fallen to 2.8 trillion dollars. Much of the selling started after Trump announced the appointment of Kevin Warsh to the Federal Reserve, and there is concern he may take a hawkish stance toward cryptocurrencies.

XRP exchange-traded funds experienced massive outflows, losing 92 million dollars on Thursday alone. The weekly flow was negative by 52 million dollars, contrary to the positive momentum in December. This reflects a loss of interest from American investors.

From a technical perspective, XRP is below all major moving averages and below the 50% Fibonacci level. The most likely scenario is continued decline toward 1.59 dollars (Fibonacci 61.8%), and if that level is broken, it could reach one dollar. Support is broken, and selling continues.