XRP Facing Numerous Negative Signals

The count of wallets holding 100 million to 1 billion XRPs has decreased, suggesting a potential shift in market dynamics. Short positions might currently offer more profitability compared to long positions.

Xrp Facing Numerous Negative Signals_65b977f2ab3aa.webp

Challenges Unfold in the World of XRP

While Ripple (XRP) continues to maintain its position among the top 10 cryptocurrencies by market cap, recent performance has raised doubts among significant investors regarding its long-term prospects. However, it’s not just questions circulating; notable changes have occurred in the XRP Ledger (XRPL) ecosystem. Between the 24th and 25th of January, a noticeable decline was observed in the number of addresses holding 100 million to 1 billion XRP tokens.

xrp facing numerous negative signals 65b977f2ae364

This drop hints at a loss of confidence among some major stakeholders, leading to a subsequent liquidation of their XRP assets. The decision to exit the XRP market seems to be correlated with its recent price actions, with XRP currently priced at $0.50, reflecting a 19.18% decrease in value over the last 30 days.

xrp facing numerous negative signals 65b977f2b6e38

The challenges faced by XRP extend beyond recent weeks. Following Ripple’s victory over the SEC last year, XRP experienced a surge, almost reaching $1. The current decline signifies a nearly 50% depreciation since that peak.

Lower Lows or Stagnation

XRP’s struggles prompted a response from prominent Bitcoin (BTC) maximalist Max Keiser. On January 23rd, Keiser, known for his critical stance on altcoins, referred to XRP as “centralized garbage.”

Despite the price downturn, there remains a positive sentiment surrounding the cryptocurrency. This optimism is reflected in the Weighted Sentiment Metric, which, at the time of reporting, had risen to 0.71. This metric evaluates the unique social volume associated with a project, and a negative value indicates a predominantly bearish sentiment in discussions about the asset.

Despite the positive Weighted Sentiment, indicating an overall optimistic sentiment in discussions about XRP, it’s crucial to recognize that this bullish outlook doesn’t guarantee an immediate recovery in XRP’s price. While a rebound is possible, it would require more than just positive market perception.

xrp facing numerous negative signals 65b977f2bfaef

To assess potential market movements, we delved into Liquidation Levels and scrutinized the Cumulative Liquidation Levels Delta (CLLD). Liquidation Levels represent estimated points that could trigger the automatic closure of existing positions. Hyblock Capital’s data revealed multiple liquidity clusters from $0.51 and above. This implies that traders opening long positions with high leverage might face the risk of easy liquidation. Conversely, shorts targeting the range between $0.48 and $0.49 carried a lower risk of liquidation.

Related: Gemini Unveils New XRP Trading Product Amid Community Excitement

Meanwhile, the CLLD exhibited a spike in the negative direction. In this scenario, latecomers to short positions aiming to capitalize on the price decline could face potential liquidation risks.

While the possibility of XRP dropping to $0.48 exists, a swift recovery might be on the horizon. However, it’s essential to consider various factors beyond current market sentiment for a comprehensive understanding of the potential price trajectory.

(100 votes)

5.0/5

(100 votes)

Latest

Bio Soars 58% After Upbit Listing, Desci Tokens Make A Powerful Comeback

News | Altcoin | Editor Choice

BIO Soars 58% After Upbit Listing, DeSci Tokens Make a Powerful Comeback

South Korea’s crypto market just witnessed a major explosion as Upbit, the country’s largest exchange by trading volume, announced the listing of BIO Protocol’s native token, BIO. Following the news, the altcoin skyrocketed over 58%, while its trading volume surged by more than 500% within hours.

Ripple Chairman Accused Of Dumping 50m Xrp On Retail Investors

News | Altcoin | Editor Choice

Ripple Chairman Accused of Dumping 50M XRP on Retail Investors

The XRP community is in turmoil after a new claim by CryptoQuant analyst Maartunn alleged that Ripple Chairman Chris Larsen sold off 50 million XRP, “dumping” on retail investors. However, industry experts quickly pushed back, clarifying that the transaction was not a sell-off as speculated.

Chainlink Whales Accumulate $15 Million, Is Link Poised For A Breakout

News | Altcoin | Editor Choice

Chainlink Whales Accumulate $15 Million, Is LINK Poised for a Breakout?

The market is buzzing as major investors quietly scoop up millions of dollars’ worth of Chainlink (LINK) — a signal that a powerful breakout could be on the horizon.

Bitcoin Heads Into November With Two Pivotal Catalysts

News | Bitcoin | Editor Choice

Bitcoin Heads Into November with Two Pivotal Catalysts

Bitcoin enters November amid unpredictable volatility, as the upcoming CPI report and FOMC meeting could become the decisive catalysts shaping its price trend in Q4.

18 Wallets Dump 890 Million Tokens, Astra Nova Crashes 65%

News | Altcoin | Editor Choice

18 Wallets Dump 890 Million Tokens, Astra Nova Crashes 65%

After 18 wallets suddenly dumped 890 million RVV tokens worth over $10.6 million, the Astra Nova team was forced to launch an emergency token buyback program to calm the community.

Screenshot 2025 10 20 091338