Signs of Reversal Despite Worst Sentiment in 2 Years... Eve of XRP Surge?

▲ XRP/ChatGPT generated image ©

Now, as investor fear reaches extremes, signs are emerging in XRP (Ripple) that it could actually be a precursor to a rebound.

According to crypto media outlet Bitcoinist on April 29 (local time), XRP has continued its bearish trend, breaking below the key support level of $1.40 in the last 48 hours, and market sentiment has also sharply deteriorated to its lowest level in two years. As the gap between optimism and pessimism widened, fear and a wait-and-see attitude quickly spread among investors.

Market analyst Sam Daodu analyzed that XRP has fallen more than 60% from its peak of $3.65 in July 2025. The recent decline was not just a price correction but led to selling pressure that shook the market structure itself, and the short-term direction is also assessed to have increased uncertainty. In addition, as Japan's 10-year government bond yield rose to 1.97%~1.98% and geopolitical risks in the Middle East expanded, the flight to safety from risk assets also put pressure on XRP.

On-chain data also supports the negative sentiment. According to Santiment, negative conversations surrounding XRP have surged, and questions about its decentralization, real-world utility, and network control structure are spreading. This has led to a weakening of investor confidence and further dampened short-term sentiment.

However, past patterns suggest a different possibility. According to Santiment data, there have been two instances in the last two years where sentiment deteriorated to similar levels, both followed by significant rebounds. In February 2025, after the bullish-to-bearish ratio dropped to 0.96:1.00, XRP surged approximately 82% to $3.65. The current ratio is 1.02:1.00, the third lowest level in the last two years.

Whether a rebound occurs in the future depends on a clear catalyst. If the U.S. crypto market structure bill, the Clarity Act, passes, regulatory uncertainty could be resolved, potentially expanding institutional capital inflow. At the same time, a trend of over 11 million XRP being accumulated daily in whale wallets is observed, which is interpreted as a positive signal from a supply-demand perspective. However, as XRP's independent rise is limited during a Bitcoin downturn, a full-scale rebound is only possible if the overall market direction aligns.

*Disclaimer: This article is for investment reference only and we are not responsible for any investment losses based on it. This content should be interpreted for informational purposes only.*