XRP at Risk of Falling to $1.11… Final Shakeout of Retail Investors Before Rally?

▲ XRP (XRP) / ChatGPT-generated image

Analysis has emerged suggesting that XRP could fall to $1.11 in an effort to shake out inexperienced investors before entering a full-scale rally, heightening tension in the market.

According to cryptocurrency-focused outlet U.Today on February 23 (local time), digital asset analyst EGRAG CRYPTO assessed that XRP’s current price correction is a necessary step toward a major upward move. He stated that the market has entered a phase of “shaking out the weak hands,” describing the volatility as a positive signal from a long-term perspective.

XRP has recently retreated from its highs and is testing key support levels. EGRAG CRYPTO projected a strong possibility that the price could pull back to around $1.11. This zone previously saw significant buying pressure and serves as a structural support level as well as a crucial inflection point based on Fibonacci retracement analysis.

The analyst emphasized that the current decline is not a simple downturn but a process of accumulating energy for what he described as a forthcoming “monster move.” He argued that clearing out excessive leveraged positions and short-term speculative forces within the market is essential for a stable rally to materialize. He advised investors to focus on the broader trend rather than reacting emotionally to short-term price drops.

From a technical standpoint, XRP is nearing oversold territory, meeting key conditions for a potential rebound. Changes in open interest and the Market Value to Realized Value (MVRV) ratio suggest that the correction may be approaching a bottoming phase. Despite some instability in Bitcoin (BTC) price movements, XRP is attempting to establish its own independent support base.

If XRP successfully defends the $1.11 support level, it is expected to regain market confidence and secure strong rebound momentum. The conclusion of this correction is likely to serve as a critical turning point that determines price direction over the coming months. Large investors are closely monitoring whether buying interest emerges in this zone as they adjust their positions accordingly.

Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses incurred based on this content. The information should be interpreted solely for informational purposes.