Ripple‘s token XRP fell 19% since January 5, pushing retail traders into extreme fear as geopolitical tensions rose. The token had reached an all-time high of $3.65 in July 2025 before entering a steady decline.
According to Santiment, social metrics now place XRP in “Extreme Fear” territory. “XRP traders show major FUD, which usually is a rally starter.” (Ed. note: Santiment noted bearish chatter often precedes rallies.)
Analyst Ali Martinez highlighted key price levels to watch for XRP. He identified $1.78 as critical support, with major resistance around $1.97 and $2.
The market is about 47% below its July 2025 high, after an extraordinary 600% rally since November 2024. Traders describe the current phase as distribution and a healthy correction.
As CryptoQuant explained, funding rates on Binance have been mostly negative since December. That indicates leveraged short positions dominate, which can add selling pressure now and fuel a squeeze if prices reverse.
