XRP remains unimpressive despite Ripple securing a major legal victory as the SEC dropped its lawsuit on March 19. After five long years of uncertainty, the crypto world expected a price surge. Yet, XRP continues to trade sideways at $2.39, holding just above a crucial support level at $2.13.
This unexpected stagnation has left traders puzzled. Confidence in the altcoin has not matched the excitement of the legal outcome. The market sentiment still feels heavy, and XRP’s future remains uncertain. As the dust settles, bearish pressure threatens to overwhelm any bullish hopes.
Whale Sell-Offs Raise Red Flags for XRP
One of the biggest warning signs comes from XRP’s largest holders. Data from Santiment shows that whales are pulling out. Wallets holding between 100 million and 1 billion XRP sold a combined 20 million tokens. This sell-off equals roughly $50 million in XRP leaving the hands of major players.
That’s a significant move, especially following a legal win. These whales began selling earlier this month and have not stopped. The trend suggests a lack of confidence in XRP’s short-term performance. Despite Ripple’s courtroom success, big investors are not rushing back in.
Their actions speak louder than market optimism. When whales sell, others take notice. Such sell-offs usually increase supply, pushing prices downward. Traders now wonder if this is just the beginning of a longer downturn.
Negative Sentiment Clouds XRP’s Short-Term Outlook
Market sentiment adds another layer of concern. XRP’s weighted sentiment has dropped sharply and now hovers just above neutral at 0.052. This metric reflects both the volume and tone of social media discussions. As it approaches negative territory, traders grow increasingly skeptical.
This declining sentiment often leads to reduced trading activity. When people lose confidence, they participate less, weakening the market. With fewer buyers and sellers, XRP becomes more vulnerable to price drops. Social buzz isn’t just quiet—it’s turning against the token.
If this negative outlook continues, XRP could face more downward pressure. Traders holding onto hopes of a rebound might need to wait longer. The energy needed for a strong comeback is simply not present right now.
XRP Balances on a Thin Line Between Support and Collapse
At $2.39, XRP finds itself stuck between two major price points. The nearest support lies at $2.13. If the token dips below this floor, it may quickly slide to $1.47. That move would represent a painful 38% decline from its current level.
However, not all hope is lost. If buyer confidence returns, XRP could rally. A resurgence in demand might push the price toward $2.61. That would be a healthy 9% gain and could spark renewed bullish interest. The token now balances on this razor-thin line between growth and collapse.
Market watchers are keeping a close eye on whale movements. Any sign of renewed accumulation could shift momentum. Likewise, a sentiment rebound would help fuel a potential breakout. But until these changes occur, caution remains the dominant strategy.
Why XRP Hasn’t Surged Despite Legal Clarity
Ripple’s legal victory removed a major source of uncertainty. But clarity in court hasn’t translated into market excitement. The disconnect likely stems from a broader lack of trust. Traders may doubt the altcoin’s ability to perform without strong ecosystem growth.
Additionally, many investors are using this moment to take profits. After years of waiting, they’re cashing out while prices are still favorable. This selling adds further pressure to a market already lacking momentum. Without fresh demand, it’s hard for XRP to lift off.
Furthermore, overall market conditions remain mixed. Bitcoin’s recent stability hasn’t yet sparked significant altcoin rallies. As a result, XRP’s sluggish behavior reflects the crypto market’s broader uncertainty.
What Traders Should Watch Going Forward
XRP’s fate in the short term hinges on a few critical factors. The $2.13 support level must hold. If it doesn’t, a drop to $1.47 seems likely. Whale activity needs to shift from selling to buying. Until then, trust will remain fragile. Sentiment must also recover to drive renewed market energy.
Read Also: Ripple CEO Confirms SEC’s Withdrawal – XRP Jumps 11%!
A surge to $2.61 remains possible but requires several changes to align. Traders who act early could benefit, but timing is everything. Without stronger signals, XRP’s price could stay trapped in this holding pattern.
