XRP Price Prediction: Brutal Sell-Off Pushes XRP Toward Total Collapse – Is a Bear Market Officially Starting?

XRP price prediction has turned sharply bearish as the token plunged 16% in a single week, trading near the critical $2 threshold. With 24-hour volumes spiking 27% — representing nearly 5% of circulating market cap — selling pressure is intensifying fast. The recent U.S. spot XRP ETF launch has failed to stem the bleeding, leaving traders questioning whether a full-blown XRP bear market is now underway.

The Sell-Off: 16% Weekly Drop and $2 Support in Jeopardy

XRP has shed 16% over the past seven days, falling from $2.38 highs to $2.01 lows before a modest rebound to $2.05. This marks the token’s worst weekly performance since August, erasing gains from the ETF hype and pushing it toward a potential breakdown below the psychologically crucial $2 level. Open interest in XRP futures has collapsed to its lowest since early November, when Trump’s election victory briefly revived sentiment.

The Fear & Greed Index has cratered to 15 — a reading not seen since April — signaling extreme panic across crypto markets. Bitcoin’s parallel decline below $90,000 has dragged altcoins lower, with XRP’s 41% drop from October highs reflecting broader risk-off sentiment.

• Weekly Loss: –16% to $2.05
• Volume Surge: +27% (5% of circulating cap)
• Fear & Greed: 15 (extreme fear)

ETF Launch Fails to Halt Decline

The debut of the first U.S. spot XRP ETF earlier this month generated initial excitement, with $36 million in day-one volume. However, subsequent outflows and lack of sustained inflows have left the product unable to counter macro headwinds. As Bitcoin ETFs bled $1.11 billion last week, XRP’s ETF saw marginal support but failed to spark a rally, underscoring the dominance of broader market forces.

Technical Outlook: Trend Line Support Holds, But $2 Breakdown Looms

XRP bounced off a key ascending trend line yesterday, forming a potential short-term bottom near $1.98. Bulls defended this level with a 3% intraday recovery, but momentum remains weak:

• Immediate Support: $2.00 psychological + trend line
• Next Support: $1.85 (October lows)
• Resistance: $2.20 (50-day EMA); $2.38 (recent highs)

A weekly close below $2 would confirm bearish continuation, targeting $1.70–$1.85. Conversely, reclaiming $2.20 could spark a relief rally toward $2.50.

Why the Sell-Off? Macro Pressure and Leverage Wipeouts

The decline mirrors Bitcoin’s 5% daily drop, with $1.2 billion in crypto liquidations amplifying downside. Fed hawkishness (December cut odds at 49.4%), tariff fears, and delayed economic data have crushed risk appetite. XRP’s high beta to BTC (1.2) magnifies moves, with 70% of volume from leveraged positions exacerbating the fall.

2025 XRP Price Prediction: $3-$5 Consensus Amid Volatility

XRP price prediction for 2025 targets $3-$5, with 50-150% upside from $2. Changelly $2.80-$3.20; CoinDCX $4.00. Bull catalysts: ETF inflows; bear risks: $1.85 test on macro pressure.

In summary, XRP’s 16% weekly plunge to $2.05 amid ETF launch failure and macro fears signals potential bear market start, with $1.85 downside risk unless $2.20 reclaimed for $3-$5 2025 recovery.