XRP price experienced a significant decline today, dropping over 5% in the past 24 hours, alongside other major cryptocurrencies. The downward movement can be largely attributed to recent inflation data released by the U.S. Bureau of Labor Statistics. 3.7% increase in the Producer Price Index (PPI) surprised analysts, surpassing forecasts and highlighting persistent inflation concerns. This unexpected result is pushing market sentiment towards increased risk aversion, leading to profit-taking across various assets, including cryptocurrencies. XRP’s price fell to $3.11 today, marking a 3.45% daily decline. While the token initially traded near $3.2474 before an afternoon sell-off, it is now trading in a narrow range around $3.10. The recent inflation data has fueled concerns about prolonged higher interest rates and the Federal Reserve’s ability to ease its monetary policy soon. Market analysts suggest that rising producer prices may fuel broader inflationary pressures. XRP had initially benefited from earlier expectations of rate reductions, but this new outlook coupled with continued inflation risks has led to a market sell-off. According to CoinMarketCap data, XRP’s heaviest losses came immediately after the release of the inflation report, mirroring the broader crypto market’s downturn. Market participants remain cautious and will continue to monitor economic indicators that could further influence XRP’s price direction in the coming days.