Ripple (XRP) Selling Is Ill-Advised: Analyst Shares Insights
A key analyst advises against selling Ripple (XRP) despite its recent price dip, highlighting the potential for a market recovery.
XRP has recently fallen below a significant support level after experiencing a 13% decline this month.
A well-known analyst has presented several reasons for investors to hold on to their XRP assets amid this ongoing correction, arguing that selling now could be detrimental.
#XRP – Why Selling Now Makes NO Sense:
“If you truly believe we’ve entered a bear market, then selling here is actually the worst possible timing.”
“Bear markets do not move straight down. They almost always deliver one more relief move first.
1️⃣ This Is an Emotional Sell Zone.
Egrag Crypto emphasizes that even if investors suspect a bear market is underway, it is crucial to maintain ownership of XRP tokens as this zone reflects emotional selling rather than fundamental reasons.
According to Egrag, smart money typically sells into strength and reassures investors of historical XRP cycles that have tended to produce relief moves.
While the analyst acknowledged the possibility of entering a bear market, they maintained that current patterns indicate a reset rather than a complete market collapse, suggesting that selling at this time could spell disaster.
Both Bull and Bear Scenarios Say ‘Don’t Sell Here,’ Egrag concluded.
Who Is Selling?
Investors of five spot ETFs exposing them to XRP in the U.S. are not part of the selling trend. These investment vehicles have seen substantial inflows, totaling over $1.060 billion, with more than $30 million invested just last Thursday.
In contrast, whales, or large investors, have been parting ways with their XRP holdings. As Ali Martinez recently reported, these investors have sold nearly 1.2 million tokens in just one month, adding to a prior sell-off of over 1.5 million tokens.
This selling activity coincides with the announcement of XRP’s own ETFs designed to track its performance, despite a drop in XRP’s price by over 25% since the ETFs debuted.
Currently, XRP trades below $1.90, a critical support level that could lead to further price drops if not overcome soon, with analysts warning a potential decline to $1.00 is possible.
