Warning Sign for XRP's Price: is Ripple in Trouble?


Warning Sign for XRP's Price: is Ripple in Trouble?



Fear, uncertainty and doubt around Ripple’s cross-border payments token has increased, according to blockchain analytics.

XRP is seeing its “highest level of retail FUD” since US President Donald Trump announced trade tariffs six months ago, reported blockchain analytics firm Santiment using a bullish-to-bearish sentiment ratio on Tuesday.

Trump’s global tariff bombshell in April triggered a massive 20% XRP price drop to below $1.80 within days in line with a broader crypto market sell-off.

However, it is not all bad news. There have been more bearish comments than bullish for two of the past three days, it stated before adding that this is “generally a promising buy signal” because markets move opposite to small trader expectations.

Unfounded FUD surge

The negative sentiment arises as XRP has failed to perform, while others in its vicinity, such as Bitcoin, Ether, and BNB, have reached new all-time highs or come close to previous ones. Additionally, BNB flipped XRP in terms of market capitalization this week.

“Nothing to do with FUD, but just pure reality with XRP value accrual that is literally zero and doesn’t benefit holders at all,” said one respondent.

Historical sentiment analysis shows extreme retail FUD often precedes XRP rallies, as seen in July’s run-up to an all-time high of $3.65. However, the token has tanked more than 21% since then and has failed to break resistance above $3 multiple times since mid-August.

In reality, things are looking very bullish for Ripple and XRP, with legal and regulatory clarity expected to arrive in 2025 and an expansion of partnerships and integrations within the global TradFi ecosystem.

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The Ripple DeFi ecosystem has also gone through recent expansion, as reported by CryptoPotato.

The CEO of agricultural investment firm Teucrium, Sal Gilbertie, said XRP was “a coin that will have the most utility out there,” and XRP has “a true use case.”

XRP Price Outlook

Nevertheless, retail traders and investors remain unconvinced, as the asset has fallen 3.8% on the day to $2.87 at the time of writing.

XRP touched $3.10 late last week, but resistance proved too strong again, causing the retreat. The asset has traded sideways since its surge in mid-July but is up 38% since the beginning of the year and a whopping 440% since the same time last year.

Chart guru Peter Brandt painted a gloomier picture, identifying a “classic descending triangle” developing, adding that there is a danger of a fall to $2.22 if XRP closes below $2.68.

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