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XRP is showing renewed signs of investor anxiety on Tuesday after a turbulent week across the crypto market, with sentiment indicators showing “extreme fear,” a condition that has historically preceded short-term rallies.
Notably, over the past week, the asset declined by almost 3%, underperforming some segments of the market while also reflecting the broader risk-averse sentiment in the cryptocurrency market.
However, despite the subdued price movement, attention has shifted to the sentiment data, which shows a more contrarian signal beneath the surface.
According to data from On popular analytics platform Santiment, XRP social sentiment has seen a sharp drop, with bearish comments now slightly outweighing bullish comments.. The platform noted that the ratio of positive to negative mentions has decreased to approximately 1 for every bearish comment.

In his analysis, Santiment emphasized that this level of popular pessimism has historically acted as a possible sign of reversal. Weaker market participants often abandon their positions amid heightened fear, reducing selling pressure and allowing recovery moves.
Additionally, the platform explained that previous declines in “FUD zones” have frequently coincided with price stabilization or short-term rallies. However, when sentiment becomes excessively bullish, markets often struggle as buying pressure fades.
In addition, the popular analyst Alí Martínez reported a significant drop in whale transactions on the XRP network over a short period.
According to him, large transactions exceeding $1 million decreased significantly from 157 to 67 in nine days, resulting in a sharp drop of 57.3%. This reduction in whale activity suggests a slowdown in market activity.

The analyst noted that such declines often indicate a “compression phase,” in which major players temporarily reduce activity, allowing the pricing structure to consolidate. Under such conditions, liquidity tends to stabilize as order books are rebuilt, often preceding larger directional moves once participation returns.
Furthermore, he pointed to XRP’s price structure, suggesting that if the asset continues to follow its current parallel channel, the midrange near $0.73 could become a potential accumulation zone. This implies that despite short-term weakness, broader structural levels remain the focus for traders positioning for longer-term moves.

In addition, analyst Celal Kucuker argument that XRP’s underlying strength is becoming increasingly difficult to ignore, especially if the broader crypto market moves into a euphoric cycle. Under a projection of extreme market growth, he suggested that XRP could reach $17.
He further stated that such a scenario could even challenge Ethereum’s market position, an ambitious prospect that reflects the growing polarization between short-term sentiment and long-term speculative predictions.

Meanwhile, as
At the time of this publication, XRP was trading at $1.31, reflecting a 0.95% drop in the last 24 hours.
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