XRP Shows Signs of $1 Breakdown... Faces Risk of Slide to $0.8 Amid Whale Sell-Off

▲ XRP decline/ChatGPT-generated image

A strong warning has emerged that XRP could plunge beyond the breakdown of the $1 support level and fall as low as $0.80, as a bearish chart pattern coincides with massive sell-offs by whales.

According to cryptocurrency media outlet Cointelegraph on February 23 (local time), XRP has recently formed a classic continuation pattern known as a bear flag on the two-day chart, increasing the likelihood of further declines. After a sharp drop followed by sideways movement within a narrow range, this pattern typically results in another fall equivalent to the previous decline. Technical analysis suggests that if this pattern materializes, the price could tumble about 42% from current levels to around $0.80.

Adding to market anxiety is the movement of large investors, or whales. Data from CryptoQuant shows that more than 31 million XRP were deposited to Binance, the world’s largest exchange, in a single day last Saturday. This marks the largest single-day inflow since January 20, with over 88% of the total deposits coming from large holders owning more than 100,000 XRP, raising the risk of immediate selling pressure.

A closer look at whale activity reveals that wallets holding more than 1 million XRP transferred 14.5 million XRP to exchanges, while investors holding between 100,000 and 1 million XRP moved 14.2 million XRP. Crypto analyst Darkfost noted that potential sell orders worth approximately $45 million are weighing on the market. He warned that if this selling pressure persists, XRP could face significant difficulty recovering from its short-term correction phase.

Whether key support levels can hold is also in sharp focus. Analyst Bitguru identified $1.22 as a crucial support zone and predicted that if this level breaks, the downtrend could accelerate uncontrollably. In particular, if a daily candle closes below $1.20, market control would shift entirely to sellers, potentially pushing the price down rapidly to $1.11 and eventually to the psychological threshold of $1.

XRP is currently grappling with a double burden of technical weakness and supply-demand imbalance. With whales liquidating large portions of their holdings, the prevailing market view is that a break below $1 would be only a matter of time if the $1.22 support level fails. Investors should closely monitor whether the inflows to Binance translate into market sell orders and prepare thoroughly for downside risks extending to $0.80.

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