XRP may fall below $1 as whales sell: Here’s what you need to know
Ripple (XRP) had a strong start at the beginning of the year, but its performance took a sharp downturn towards the end. In January, the price of XRP surpassed the $3 mark for the first time in seven years. Subsequently, the asset reached an all-time high of $3.65 in July. However, since its peak, XRP's price has been gradually declining. According to data from CoinGecko, XRP has dropped 8.5% over the past week. On the 14-day chart, XRP has risen by 12.5%, up 15.9% over the past month, and up 26% since December 2024. There is a risk that XRP could fall to $1 or even lower. Let's discuss this further.
Source: CoinGecko Will XRP Fall Below $1?
Source: Watcher.Guru Well-known crypto analyst Ali Martinez stated that whale wallets are frantically selling off XRP, putting its price at risk. Over the past four weeks, whales have sold 1.18 billion XRP. Martinez believes that with increasing selling pressure, the likelihood of XRP's price dropping to $1 has risen significantly.
In addition, there appears to be very little demand for XRP at the $2 price level. This lack of demand could further intensify the selling pressure on the asset.
However, despite the weak price action, inflows into the XRP ETF have continued unabated. The size of the XRP ETF recently surpassed the $1 billion mark. However, the increase in inflows has not been sufficient to push up the price of XRP.
Also read: XRP Price Expected to Reach $5.85 and $8.76: Analyst Says "Wave D" Will Begin in 2026
Before the crypto market emerges from its current bear phase, XRP's price may face further challenges. Macroeconomic uncertainty and investors' risk-averse attitudes have led to heavy selling in the crypto market. Only when the overall economy strengthens will the situation improve. The UK's inflation rate in November fell to 3.2%, the lowest level in eight months. This move could prompt the Bank of England to lower interest rates. In such a scenario, we may see an increase in high-risk investments. The prices of XRP and other cryptocurrencies could rebound as a result.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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