Ripple’s cross-border token remains one of the most talked-about topics in the crypto space, but analysts have recently split into two distinct camps.
On one side, we have people calling for the end of the bear market and a price explosion toward new historical peaks, and on the other, pundits who believe XRP may drop well below $1 in the near future.
The Bearish Scenario
As of press time, the asset is worth around $1.07, which means a 5% plunge over the past week. According to X user Diana, losing the $1.08 support may result in a final shakeout to much lower levels.
She believes the next move could be a sell-off toward the $0.90-$0.93 liquidity zone, followed by a relief bounce above $1 and an ultimate flush into the $0.87 macro support, which is expected to complete the entire correction and set the stage for the next major expansion.
Cryptorphic also paid attention to $1.08, which remains strong resistance, indicating that the current structure favors sellers and could lead to further declines.
Some factors also suggest that the price of Ripple’s native token may head further south in the short term. As CryptoPotato reported, positive online posts about XRP have surged recently, with FOMO rising to a multi-month high. This may sound optimistic, but the cryptocurrency market is a weird one and often moves against the crowd’s expectations.
Another worrying element is the waning interest in spot XRP ETFs. Up until the beginning of July, the inflows consistently surpassed outflows, yet in recent weeks, pension funds, hedge funds, and other conservative investors started reducing their exposure to the asset, forcing Bitwise, Canary Capital, Franklin Templeton, 21Shares, and Grayscale to sell XRP to maintain the proper backing of the shares.
Spot XRP ETFs, Source: SoSoValue
The Bulls Are Also Vocal
The XRP Army has a reputation for strong loyalty and consistent support for Ripple’s cryptocurrency, even in challenging times. That said, it is no surprise that some market observers continue to foresee fresh all-time highs.
Not long ago, X user Crypto Patel claimed that the asset is repeating a macro pattern that has previously led to 1,000%+ rallies. In their view, history suggests another expansion phase that could push the price to a new peak above $9.
Celal Kucuker is also highly optimistic, reminding XRP’s monthly rise by 500% two years ago. “Now people say $7 by year-end is impossible… yet there are still 6 months left. Never underestimate what Ripple can do,” they added.
Of course, expectations should remain tempered given the extended bear market gripping the crypto space. One should also know that such high price levels for XRP would require its market capitalization to skyrocket above $350 billion, and that seems far-fetched (to say the least) as of the moment.
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