Perplexity AI's astonishing prediction: XRP is likely to fall to 1 dollar, and Solana and Dogecoin face a severe test before Christmas.

In November 2025, the artificial intelligence platform Perplexity AI released a pessimistic forecast for the three major Crypto Assets, believing that XRP could fall to $1 before Christmas, a big dump of 50% from the current price; Solana may only rise slightly by $3 to $135 in a Bear Market scenario; Dogecoin could dip to $0.11, a fall of 25%.

At the time of this prediction, Bitcoin is falling to a six-month low below $87,000, with the entire crypto assets market experiencing a painful deleveraging. However, the AI model also points out that if positive catalysts such as the approval of a spot ETF or a shift in regulatory policies occur, the three major assets still have significant rise potential, indicating that the current market is at a critical turning point.

AI Warning: Perplexity Model Reveals Vulnerabilities of Three Major Tokens

When the overall cryptocurrency market falls into a correction cycle, the latest predictions from the artificial intelligence analysis platform Perplexity AI sound the alarm for investors. The predictive model built by the platform based on current market trends and on-chain data shows that several mainstream competitive coins are facing severe downside risks, especially in the absence of positive catalysts. The special significance of this prediction lies in the fact that it comes from a competitor of ChatGPT, utilizing advanced machine learning algorithms to analyze historical patterns and market sentiment, providing a new perspective for traditional technical analysis.

The market background has intensified the urgency of these predictions. Bitcoin has currently fallen below $87,000, hitting a six-month low, and the total market value of Crypto Assets has significantly shrunk over the past month. This widespread fall mainly stems from a market cleanup of excessive leverage and speculative activities, rather than a fundamental deterioration of the fundamentals. The analysis from Perplexity AI has been released at this fragile market sentiment point, naturally sparking widespread attention and discussion.

From a methodological perspective, Perplexity AI's prediction model takes into account technical indicators, on-chain data, market sentiment, and fundamental factors. Unlike human analysts, AI models can process a larger volume of data and identify nonlinear relationships, but they may also underestimate the impact of market psychology and sudden news events. Therefore, these predictions should be viewed as probabilistic scenarios based on current conditions rather than deterministic prophecies, and investors should make comprehensive judgments by combining other information sources.

XRP Dilemma: From Legal Victory to Potential Halving

Perplexity AI's prediction for XRP is particularly noteworthy, as the asset just reached a seven-year high of $3.65 in July 2025, a surge primarily attributed to Ripple's significant legal victory in the lawsuit against the U.S. Securities and Exchange Commission. However, according to the pessimistic scenario of the AI model, XRP could experience a big dump to $1 before Christmas, a 50% drop from the current price of around $2, completely erasing the rise brought by the legal victory.

Technical analysis provides some support for this pessimistic prediction. XRP has been in a narrow consolidation range since the middle of the year, forming multiple bullish flag patterns that have failed to break out upward. The Relative Strength Index (RSI) is currently hovering around 31, close to the oversold area but has not yet shown strong rebound signals. This technical structure indicates that XRP is in a heavy selling pressure phase, and any negative news could trigger further fall.

Fundamental factors present a more complex picture. Despite facing short-term price pressure, XRP has still achieved an 81% rise over the past 12 months, outperforming Bitcoin and Ethereum. Ripple's cross-border payment solutions continue to expand their global partner network, and recent rumors of collaborations with several major financial institutions also provide potential support for the price. However, these positive developments require time to translate into actual adoption and demand, making it difficult to immediately offset the overall bearish sentiment in the market.

Comparison of Key Predictive Data for Three Major Crypto Assets

• XRP Current Price: About 2 dollars; Bear Market Prediction: 1 dollar (fall 50%); Bull Market Prediction: 5 dollars (2026)
• Solana Current Price: 132 USD; Bear Market Prediction: 135 USD (rise 2.3%); Bull Market Prediction: 380 USD
• Dogecoin Current Price: 0.1466 USD; Bear Market Prediction: 0.11 USD (fall 25%); Bull Market Prediction: 0.33 USD
• Bitcoin Reference Price: 87000 USD (6 month low)

It is worth emphasizing that Perplexity AI also provides an optimistic scenario for XRP. The model indicates that if a spot XRP ETF is approved, major banking partnerships are established, or positive developments occur in U.S. policy, these catalysts could push XRP towards $5 in 2026. This dual-scenario forecasting framework reminds investors that the current market price has reflected a considerable portion of pessimistic expectations, and any positive surprise could trigger a sharp rebound.

Solana Resilience: Divergence Between Ecosystem Activity and Price Performance

Solana demonstrates unique resilience in the Perplexity AI predictions, with the model still expecting its price to rise slightly to $135 by the end of the year, even in a Bear Market scenario. This relatively strong performance is closely related to the ongoing activity within the Solana ecosystem. In 2025, Solana remains one of the most active blockchains, with a total locked value exceeding $9 billion, a market value of approximately $73 billion, and continued increases in developer engagement and network usage.

The recently launched Solana ETF products have injected new optimism into the market. The new Solana ETFs launched by Bitwise and Grayscale in the United States have led many analysts to expect a similar influx of funds as seen after the launch of Bitcoin and Ethereum ETFs. Although these products have not been able to stop SOL's recent price struggles, they may become a significant source of demand once the market stabilizes. It is worth noting that SOL has performed relatively well in a generally declining market, rising 1% overnight to $132.

Looking at the price history, the volatility of SOL provides a backdrop for its recovery potential. The token soared to $250 in January, dipped to around $100 in April, and the current price is still well below the historical high of $293. Technical indicators suggest that SOL may soon break out of a bullish flag pattern, which, if realized, could initiate a new upward trend. This technical positioning combined with fundamental strength provides a confidence basis for long-term investors.

Perplexity AI's bullish scenario is more aggressive, believing that SOL could reach $380. Part of this optimistic prediction is based on Solana's reputation in the tokenization of real-world assets—both BlackRock and Franklin Templeton have piloted on this network. As the trend of traditional financial assets going on-chain accelerates, Solana's technological advantages may translate into substantial demand growth and valuation increases.

Dogecoin Challenge: The Survival Test of the Meme Coin King

As the flagship of the entire meme coin market, Dogecoin's performance is indicative of the entire speculative Crypto Assets category. Perplexity AI predicts that the token could fall to $0.11, a 25% drop from the current price, reflecting the market's general aversion to high-risk assets. Notably, Dogecoin currently has a market capitalization of about $23 billion, accounting for nearly half of the entire $47 billion meme coin market, and its trend has far-reaching effects on the whole sector.

The price history of Dogecoin provides important context for its current situation. The token reached an all-time high of $0.7316 during the bull market of 2021, while the long-awaited $1 milestone now seems further away than ever. From a technical analysis perspective, Dogecoin formed several bullish structures on the charts during late summer and early autumn, but now it seems to be breaking down, and this type of technical breakdown often signals further dip risks.

However, the fundamental adoption story of Dogecoin continues to expand. Tesla continues to accept DOGE for the sale of branded merchandise, and both PayPal and Revolut support Dogecoin transfers. These practical use cases provide value support for the token beyond pure speculative demand. The breadth of integration with traditional businesses makes Dogecoin stand out in the meme coin category and also provides a rationale for its long-term viability.

Perplexity AI also provides a bull market scenario for Dogecoin, believing that under favorable conditions the price could double to $0.33. This prediction takes into account several potential catalysts, including further integration of major social media platforms, Tesla expanding the range of DOGE payments, or the entire meme coin sector being favored again due to a shift in market sentiment. For investors who believe in the durability of meme coin culture, the current price level may offer a relatively favorable entry point in terms of risk and return.

Market Background: Survival Strategies in the De-leveraging Cycle

Understanding the predictions of Perplexity AI needs to be placed in a broader market context. The current crypto assets market is undergoing a typical deleveraging cycle, where excessive speculation and leveraged positions are being forcibly liquidated, leading to a price drop that deviates from the fundamentals. Bitcoin's fall to a six-month low of $87,000 is a manifestation of this market cleansing, while altcoins typically perform more weakly in such an environment.

From the perspective of capital flow, the recent market decline is closely related to institutional investors adjusting their positions. As the end of the year approaches, many fund managers choose to lock in profits and reduce risk exposure, leading to liquidity flowing out of high-risk assets such as Crypto Assets. This technical selling pressure may amplify fundamental changes and create short-term pricing anomalies, providing opportunities for patient investors.

The regulatory environment remains a key variable. The latest developments in the Ripple case by the U.S. Securities and Exchange Commission, its regulatory stance on crypto assets staking, and potential policy changes brought about by the upcoming elections could significantly alter market sentiment. Perplexity AI's predictive model may not fully capture the sudden changes in these policy variables, so investors need to stay closely attuned to regulatory dynamics.

From a historical pattern perspective, the current deleveraging cycle has similarities with the market adjustments in 2018, 2020, and 2022. These cycles typically begin with a sharp fall, followed by a longer period of consolidation and accumulation, and finally recover an upward trend when new catalysts emerge. Identifying which stage of the cycle we are currently in can help investors develop appropriate strategies instead of simply reacting to short-term price fluctuations.

Investment Insights: Decision-Making Thoughts under the AI Prediction Framework

How should rational investors respond to the predictions of Perplexity AI? First, it is important to understand the limitations of AI predictions. These models are based on historical data and current conditions, and cannot predict black swan events or sudden policy changes. Therefore, they should be used as one of the references for decision-making, rather than the sole basis. Establishing a diversified source of information and analytical framework is crucial.

For XRP investors, the key issue is to assess the balance between legal risks and the potential for cross-border payments. Although there has been progress in the legal battle between Ripple and the SEC, it has not been fully resolved, and the expansion of the global payment network takes time. Investors need to determine whether the current price fully reflects the risks or is overly pessimistic. Diversified investing and position management may be more effective than attempting to time the market precisely.

Solana investors face different considerations. The network's technical capabilities and ecosystem vitality are evident, but the competitive landscape is becoming increasingly intense, with Ethereum's continued development and the rise of emerging Layer 1s posing challenges. Investing in Solana largely bets on its ability to maintain developer mindshare and user growth, which requires closely monitoring ecosystem development metrics rather than just price.

For Dogecoin, the investment logic focuses more on the durability of cultural phenomena and community power. As a meme coin, its value support mainly comes from network effects and brand recognition, rather than technological advantages or practical value. This type of asset is suitable for investors with a high risk appetite, and positions should be strictly controlled within a small proportion of the investment portfolio.

FAQ

How reliable is the prediction of Perplexity AI?

As a predictive model based on machine learning algorithms, Perplexity AI can analyze a large amount of historical data and market patterns, but its predictions are essentially probabilistic and cannot account for all sudden variables. Investors should use it as a reference rather than the sole basis for decision-making.

What is the biggest risk facing XRP?

In addition to the overall market sentiment, the main risks for XRP include the rejection of spot ETF applications, the back-and-forth in the legal battle between Ripple and the SEC, and the slower-than-expected progress in the adoption of cross-border payments. These factors may collectively put further pressure on the price.

Why Has the Active Solana Ecosystem Failed to Boost Prices?

The activity level of the blockchain is correlated with token prices but not completely in sync. In the current market environment, macro factors and capital flows dominate short-term prices, while ecological value takes longer to be fully reflected in valuations.

Can Dogecoin shake off the meme coin label and achieve value support?

Some have gained certain practical value through adoption by companies like Tesla, but the main value driver still comes from community culture and network effects. Completely breaking away from meme attributes faces challenges, and practicality and speculation will coexist in the long term.

How to formulate investment strategies in the current market environment?

It is recommended to adopt a strategy of building positions in batches, strict position management, and focusing on long-term fundamentals rather than short-term fluctuations. Emphasis should be placed on evaluating the project's technological advantages, adoption progress, and community vitality, while avoiding excessive leverage and emotional decision-making.