Famous Trader Bets $27 Million That The XRP Price Will Crash
Overview
A notable trader has initiated a substantial short position on XRP, betting on a significant price decline amid ongoing market struggles. This move comes as the cryptocurrency faces increased selling pressure despite recent institutional adoption, raising concerns about its future performance.
Recent Market Developments
A famous trader has opened a short position on XRP valued at $27.4 million, as reported by the on-chain analytics platform Lookonchain. This position is part of a broader strategy, as the trader has also taken short positions on Bitcoin and ZEC, amounting to significant sums. The current market for XRP is challenging, with popular analyst Ali Martinez suggesting a potential drop below the psychological $2 level.
XRP has been under considerable selling pressure, even with the recent launch of Canary’s XRP ETF aimed at boosting institutional adoption. Despite this development, the price of XRP remains vulnerable, particularly amid concerns that Bitcoin may already be experiencing a bear market.
Data from Santiment indicates that whales holding between 1 million and 10 million XRP have recently sold nearly 200 million coins within a 48-hour period. This trend may signal the beginning of a larger sell-off, especially following insights from Glassnode, which reported that the share of XRP supply in profit has decreased to 58.5%, the lowest level since November 2024. At that time, XRP was trading around $0.53.
Additionally, Glassnode highlighted that approximately 41.5% of XRP’s supply, equating to around 26.5 billion coins, is currently at a loss, suggesting a “top-heavy and structurally fragile market.”
Analyst Predictions
Crypto analyst CasiTrades has also weighed in on XRP’s potential trajectory, suggesting that the price may decline to the macro .5 Fibonacci support level at $2.03. She stated that the current price movement aligns with typical Wave 2 corrections. CasiTrades pointed out that the only factor that could invalidate this downward trend would be a decisive break above the macro .382 level at $2.41.
Moreover, she mentioned that a drop to the still-valid macro target at $1.65, which represents the .618 Fibonacci level, is plausible. CasiTrades believes such a move would not necessarily be bearish, as it could lay the groundwork for a powerful macro Wave 3 leading to new all-time highs.
Impact on the crypto market
- A significant short position on XRP signals a bearish outlook from major traders.
- Increased selling pressure from large holders (whales) indicates potential market instability.
- The decline in the percentage of XRP supply in profit suggests a weakening market sentiment.
- Analyst predictions highlight potential support levels, which may influence trader strategies.
- The ongoing challenges for XRP, despite institutional efforts, may affect broader market confidence in altcoins.
Updated: 11/19/2025, 1:35:41 PM
