By Michael Scott
Market observer XRP tumble to $0.60 likely, as proponents dismiss critics of the recent uptrend.
While XRP’s sharp rise is impressive in the crypto market, the altcoin’s bullish steam is yet to slow down. Nonetheless, a market observer downplays the XRP momentum to the $3 range, warning that it could drop to $0.60.
While the recent XRP performance is remarkable, considering the massive 50% uptick in its 30-day run, critics voice concern about whether it will sustain the uptrend. The critics cite the underlying weaknesses as causing trouble for the late market entrants at peak hype.
IncomeSharks cites red flags in his market commentary, particularly the token supply and volume locked in the escrow. The market commentator illustrates that over 43% of the XRP supply is yet to hit circulation. The analyst compared the situation to a hypothetical meme coin context, where the developer has 43% ownership of the entire supply.
Will XRP Dump to the $0.60 Price Level?
IncomeSharks considers developer dominance in XRP ownership to be among the primary reasons the crypto community dislikes this altcoin. The commentator reflects on historical data to indicate that past price actions adopt a pump-and-dump pattern.
IncomeSharks conveys a historical chart to support the XRP surge from the cents range in 2017 to hit a peak in January the following year. Nonetheless, it suffered huge value erosion months later.
The analyst recounts a similar pattern emerged during the 2020-21 market cycle. Nevertheless, the price slump occurred following the charges leveled against Ripple Labs by the US Securities and Exchange Commission (SEC).
The analyst cautions against a long position on XRP, indicating the November gains could soon vanish. The data shows a potential dip despite XRP closer to the $3 milestone. The analyst warns that a slump to $0.60 in the subsequent weeks is inevitable, thereby a 77% price depreciation from the current levels.
IncomeSharks adds that while the XRP pump will inevitably fade, it to enable hundreds of billions in capital flow to other projects. He argues that the patient participants in other projects will reap substantial rewards. He pities those misguided by the FOMO to acquire XRP at the peak level as they could hold the bag for five years.
XRP Army Disputes Downtrend Claims
The XRP proponents resist the IncomeSharks arguments led by commentator Moon Lambo, who illustrates that virtually all crypto assets, including Bitcoin, have similar experiences. The analyst indicates a period of heightened euphoria often precedes huge price dips. As such, the analyst disputes that the pattern is unique to the XRP.
Other analysts have dismissed the accusations regarding XRP’s circulating supply. Renowned market analyst “CrediBULL” rules out any meme coin tokens ever locked within the escrow and released gradually over an extended time frame.
CrediBULL reiterates that the crypto community remains fully aware of the XRP’s supply dynamics. However, the analyst is concerned that the community overlooks the fact to fit their flawed narrative.
XRP Ready for Bullish Run
Market analyst Cryptoinsightuk adds weight to the argument that fear, uncertainty, and doubt (FUD) are positive illustrations of further XRP gain. The analyst claims the current trend signals that XRP has yet to hit its peak.
Cryptoinsightuk observes influencers spreading misinformation and warning that XRP is about to plunge mentally disregard this altcoin. He asserts their conversion to positivity will prompt a more cautious approach to XRP.
Cryptoinsightuk weighed into the misconception that XRP has inflation of 1 billion tokens. While he concurs that Ripple Labs unlocks 1B XRP monthly, 80% head to the escrow.
The analyst clarifies that only 200M XRP tokens add to the circulating supply monthly, thus affecting the market price minimally.