XRP Price Keeps Falling as Investors Say ‘Stay Away’

Ben Graham · January 26

Several high-profile investors are publicly warning retail buyers to stay away from XRP, arguing that its recent price drop is not a bargain. XRP now trades roughly 48% below last year’s peak after giving back much of its post-election rally. This comes as the wider crypto market shifts from legal optimism to tougher questions about real-world utility and long-term value.

In XRP’s case, critics say the story is less about short-term fear and more about structural issues that do not disappear with time.

XRP surged more than 540% in six weeks after the U.S. election as traders bet on a Ripple win against the SEC. The lawsuit ended. The price pop faded. Now investors are asking a harder question: what actually supports XRP’s value?

DISCOVER: The 12+ Hottest Crypto Presales to Buy Right Now

XRP Price Keeps Falling After A New ATH This Year, But Why?

The real issue is the use case. Ripple, the company, builds payment tools for banks, but banks can use those tools without touching XRP itself. Adoption of Ripple’s tech does not guarantee demand for the token.

XRP acts as a bridge currency, helping money move between countries quickly. SWIFT, the old-school global payments network, is building blockchain-based systems of its own. Stablecoins also move money fast without price swings. If others can do the job without volatility, XRP becomes less necessary.

Johnny Rice, another investor, points to another problem: the distinction between Ripple’s products and XRP itself. RippleNet, Ripple’s main platform, works like a faster messaging system for banks. Most banks use normal currencies on it. They skip XRP entirely.

(Source: TradingView)

XRP’s daily chart shows significant volatility throughout 2025. A new year rally pushed prices to highs near $3.80 before a prolonged downtrend took hold. After peaking in mid-2025, the XRP price has steadily declined, now trading around $1.89, well below the 100-day EMA at approximately $2.77, confirming short-term bearish momentum. Key support sits near $1.88, where buyers have defended the level amid recent dips.

Oversold conditions and signs of a potential local bottom, with some technical indicators suggesting an 11% breakout rally if momentum shifts. Bulls need a decisive move above $2.10 to challenge the descending trendline and regain control.

DISCOVER: Uranium Stocks Surge Under Trump: Best Investment Opportunity of 2026?

Is XRP’s Valuation Hard to Defend?

Even after the pullback, XRP still carries a market value of around $115 billion. To put that in context, Visa handles hundreds of times more transactions yet is valued only a few times higher. It is not a perfect comparison, but it highlights the gap between usage and price.

This disconnect explains why some analysts see XRP’s value as driven by hype rather than steady demand. Impressive rallies are also followed by fast reversals, like the one behind XRP’s recent losses.

Despite the pullback, spot XRP ETFs have seen strong institutional accumulation since launching in late 2025. Cumulative inflows reached approximately $1.3–$2 billion by late January 2026, absorbing hundreds of millions of tokens and contributing to reduced exchange supply and tighter liquidity. This institutional demand contrasts with retail caution and ongoing debates over XRP’s real-world utility.

XRP Price Keeps Falling as Investors Say ‘Stay Away’ - ExpertFX School — **(Source: XRP ETFs Tracker)**

To be fair, XRP holders are known for their commitment to this project: they held tight for over eight years before seeing a new ATH. Crypto is continuously evolving, and the price shift could happen depending on several factors. Overcoming the utility factor is a must-thought.

DISCOVER:

Follow 99Bitcoins on X For the Latest Market Updates and Subscribe on YouTube For Daily Expert Market Analysis.

The post XRP Price Keeps Falling as Investors Say ‘Stay Away’ appeared first on 99Bitcoins.