XRP Sell-Off on Upbit, Warning of Further Drop to $1.2

▲ XRP

XRP plunged below the psychological support level of $1.50 after being hit by a massive sell-off on Upbit, South Korea’s largest cryptocurrency exchange.

According to cryptocurrency media outlet CoinGape on February 16 (local time), more than 50 million XRP were dumped on Upbit within just 24 hours, amplifying market fear. As a result, XRP’s price fell sharply to the $1.40 range, erasing much of its steep gains since the beginning of the year.

This decline went beyond a simple price correction and was accompanied by large-scale liquidations. Data from Coinglass shows that XRP-related long positions worth ملايين of dollars were liquidated, adding further downward pressure. While some analysts suggest that the surge in abnormal selling volume on Upbit may be a temporary phenomenon driven by whale profit-taking or fund reallocation, investor sentiment has rapidly cooled.

Technical indicators are also signaling a bearish shift. The Relative Strength Index (RSI) has entered oversold territory, reflecting strong downward momentum, while the Moving Average Convergence Divergence (MACD) has formed a death cross, warning of further downside risk. In particular, as the price has fallen below the 26-day exponential moving average, many believe a short-term trend reversal will be difficult.

Market experts predict that if XRP fails to hold the $1.40 support level, it could extend losses toward the $1.20 range. However, some buying on dips has been observed following the large-scale sell-off on Upbit, which is viewed as a positive sign. Given the current volatility, which may represent a shakeout process for institutional investors and whales to accumulate holdings, investors are advised to closely monitor market stabilization rather than engage in impulsive panic selling.

Although there have been no significant changes in the fundamentals of the XRP ecosystem, this sell-off once again highlights the substantial influence of the Korean market. Changes in the regulatory environment or new business developments from Ripple remain key variables that could shift market sentiment. The easing of the sell-off originating from Upbit and the return of global liquidity are expected to serve as crucial turning points in determining XRP’s future direction.

Disclaimer: This article is for investment reference only, and no responsibility is taken for investment losses based on this content. The information provided should be interpreted solely for informational purposes.