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XRP Price at Risk of 65% Crash? Wyckoff Theory Predicts a Major Downtrend
XRP may face a sharp drop soon as the SEC could approve Grayscale’s bid to convert XRP Trust into a spot ETF by Thursday.
Author by
Prabaha Gupta
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XRP is going through a major decline. Since the start of February 2025, the price has fallen by 30%. Ripple crashed as low as $2.4, today. The regular trading volume also seems to be at risk.
The downfall continues
CoinGlass surveyed Ripple’s XRP. As the results of the survey drop by, some alarming facts are exposed. Firstly, the futures open interest came down to as little as $3.45 billion, because of the recent decline. Only a few weeks ago it was $7.45 billion.
Crypto market experts say that sharp declines like this shake investor confidence to a great level. XRP is also no exception.
The demand for this token has dropped significantly since the last week of January. The same problem continues. The regular trading volume is now $4 billion only.
Scope of new nuances in pricing
XRP is going through a rigid phase of decline. But that is not the ultimate for this token. The future months might be better than this period. Market analysts like JP Morgan project that the ETFs run by XRP may gather the necessary fraction and make more than $8 billion in inflows.
On that note, people may ask if the readers are calculative or simply wishful. The projection is a far cry. But spot ETHEREUM ETFs also made $3 billion in inflows.
Wyckoff’s Theory Says Otherwise
This 95-year-old theory is always appreciated, when it comes to calculating half financial assets may perform over time. There are four prime stages of asset movement:
1. Accumulation
2. Mark-up
3. Distribution and
4. Markdown
Meanwhile, XRP has just ended the accumulation phase in 2024. In this phase, the value of this token remained between $0.32 to $0.93. now the markup face has started with a price increase.
Investors observe that any abrupt price hike is also associated with a quick rise in token sales. According to them, it is the FOMO effect that the market suffers from. In this phase, the demand is higher than the supply in the market. This is another reason why the price increases in a short time.
More precisely, XRP’s current phase is distribution, where prices are volatile. If this theory is to be trusted, XRP will move to the markdown phase very soon.
Most experts suggest that in this phase the token’s value may drop to the support level ($0.93). But there is still hope. This support point is 65% below the current price status.
If the overall market revives from this bearish outlook, there are significant chances that Ripple’s price may rise significantly. So there is nothing to feel defeated if you have recently invested in XRP.
Prabaha Gupta
Editor
Meet Prabaha, a passionate cryptocurrency enthusiast and experienced trader, with a deep understanding of blockchain technology and digital assets. With years of hands-on experience in navigating the volatile crypto markets, Prabaha shares expert insights, strategies, and up-to-date trends to help both new and seasoned traders make informed decisions. When not analyzing charts or writing about market movements, Prabaha stays ahead of the curve by exploring emerging technologies within the crypto space.
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