Despite short-term selling pressure and sentiment hitting a 9-month low, analysts suggest new highs for XRP amid renewed institutional demand.
After a volatile start to October, XRP XRP $1.37 24h volatility: 3.1% Market cap: $83.73 B Vol. 24h: $2.29 B has been trading mostly flat this week, hovering around $2.43, down 1.5% over the past 24 hours. Despite short-term weakness, on-chain data and market sentiment suggest a potential XRP turnaround may be near.
According to CryptoQuant, whales have been moving large amounts of XRP tokens to centralized exchanges since early October. Data from the Whale-to-Exchange Flow chart for Binance reveals a notable surge in deposits beginning Oct. 1, peaking on Oct. 11.
XRP whale to exchange flow on Binance | Source: CryptoQuant
This influx typically indicates selling pressure, as large holders transfer funds to exchanges to take profits or mitigate risk.
XRP in a Recovery Phase?
Meanwhile, on-chain analytics firm Santiment highlighted that XRP’s crowd sentiment dropped to its lowest point in nine months after prices slipped below $1.90 earlier this month. Data showed retail investors capitulating, selling at losses with negative sentiment on social media.
👍 Just 10 days after XRP dropped below $1.90, and 3 days after retracing to $2.20, $XRP has crossed above $2.50. Data shows clear signs of the crowd selling at a loss and conveying FUD. Prices typically move opposite to retail's expectations.
🔗 Link: https://t.co/r8dZjJlkX4 pic.twitter.com/b28l4pNAN9
— Santiment (@santimentfeed) October 20, 2025
Historically, such extreme pessimism has marked market bottoms. As reflected in Santiment’s chart, XRP price rebounded above $2.50 just ten days later, suggesting that the market may be entering a recovery phase.
According to analysts, when retail fear peaks, institutional accumulation tends to follow. Therefore, the current price setup could create an opportunity for long-term investors, making XRP one of the best crypto to buy right now.
ETF Buzz Fuels Long-Term Optimism
CoinShares reported $73.88 million in net inflows to XRP investment products last week, reflecting renewed institutional interest.
Meanwhile, major asset managers, including Grayscale, Bitwise, and WisdomTree, are awaiting key SEC decisions on their proposed spot XRP ETFs. A White House economic adviser has claimed that the US government shutdown could likely “end sometime this week.”
🚨 BREAKING: Several $XRP ETF applications, including Grayscale, Bitwise, and WisdomTree, are nearing their crucial SEC decision dates this month. ⏳📈
Brace yourselves. ⚡ pic.twitter.com/5wRZ58OWaz
— John Squire (@TheCryptoSquire) October 20, 2025
The potential resolution of this three-week-long government shutdown could accelerate the ETF approval process. If ETF approvals materialize, analysts predict XRP could enter a mega bull run by 2025-end.
$XRP is oversold on the weekly.
Send us to a new all time high with haste! 🚀 pic.twitter.com/wOPvc8JPI5
— STEPH IS CRYPTO (@Steph_iscrypto) October 20, 2025
Popular trader Steph noted that XRP remains oversold on the weekly chart, suggesting it could challenge its $3.84 all-time high soon.
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