A widely known dealer throughout the crypto group has insisted that XRP has the traits of a meme coin, predicting an imminent crash towards Bitcoin.
Regardless of making a number of recoveries above the $2 mark, XRP continues to commerce in a fragile place amid a cloud of uncertainty plaguing the broader crypto market.
The volatility, largely influenced by macroeconomic tensions like the continued tariff warfare, has led to unpredictable worth actions. Final week, XRP noticed a large worth drop alongside the remainder of the market, which attracted feedback from critics.
For context, on April 9, XRP plunged to round $1.70, following a constant three-day downtrend. The drop started on April 6, when XRP traded at $2.14, earlier than tumbling greater than 17% over the following three days.
Clay Calls XRP Largest Meme Coin in Disguise
The sharp decline led to a brand new wave of bearish commentaries from Crashious Clay, a well known dealer acknowledged for his persistently pessimistic stance on XRP and the broader crypto area.
Crashious Clay claimed that the everyday XRP retail investor is financially drained and incapable of sustaining demand. In keeping with him, rich buyers are at the moment avoiding danger publicity to XRP, particularly in such unsure situations.
The dealer claimed that each one the buyers that market individuals would sometimes anticipate to buy XRP and assist the worth motion are “burned” with low capital for supporting the market. In keeping with him, whales, or buyers with substantial capital, that would have stepped in, aren’t keen to enter the market as a result of what he perceives as excessive danger on XRP.
He claimed that there’s huge promote stress, which he says originates from the Ripple workforce, insiders, early buyers, and long-term holders keen to dump property. Notably, Clay questioned the present market’s potential to soak up additional gross sales as a result of an absence of liquidity and new consumers.
He argued that XRP shares many traits with meme cash, equivalent to minimal community exercise and inadequate on-chain income. For Clay, this lack of utility helps his view that XRP is the “greatest meme coin in disguise.”
Anticipation of a Sharp XRP Crash
He prompt that its present valuation doesn’t present elementary price however is quite as a result of hype and legacy momentum. He shared his buying and selling exercise, which confirmed short XRP positions totaling $7.5 million on XRP in March, calling them among the “best” trades in his profession.
As of early April, he claimed to be over $1 million in revenue on these shorts and hinted that he has no plans to cease shorting XRP quickly.
Apparently, this was not Clay’s first sharp criticism of XRP. Earlier on, the dealer said that XRP requires exceptionally robust market situations and intense retail shopping for to push increased. Nonetheless, he argued that these situations are at the moment absent.
U want superb market situations and A LOT purchase stress from retail
To overpower promote stress on a 100B nugatory coin and pull a 2x-4x
Proper now u don’t have good situations for one thing like XRP to do any X’s
and little to zero purchase stress from retail
But 100B of…
— Crash (@CrashiusClay69) April 9, 2025
With its market cap across the $100 billion mark, Clay sees XRP as closely overvalued and prone to a crash. He in contrast it to Shiba Inu (SHIB), which as soon as peaked at a $40 billion market cap earlier than crashing to $4 billion. Clay prompt XRP may face an identical correction.
XRP Nonetheless Extra Resilient Than Most High Property
Nonetheless, whereas Crashious Clay stays firmly bearish, knowledge exhibits XRP’s latest struggles are a part of a broader market downturn quite than an remoted weak spot.
Regardless of its latest worth drop, XRP has confirmed extra resilient than most main property. 12 months-to-date, XRP has solely declined by 0.58%, whereas Bitcoin has fallen by 10.6%. Ethereum has seen a dramatic 52.88% drop, and Solana has dropped by 33.66% in the identical interval. This resilience challenges the concept that XRP is on the snapping point.
As well as, some former critics of XRP have reversed their positions following its latest efficiency. Raoul Pal, who as soon as suggested buyers to exit XRP when it lingered round $0.50 in 2024, acknowledged his mistake after the asset’s explosive surge in November 2024.
Likewise, Mike Novogratz, as soon as bearish on XRP, recognized that its sustained relevance is due in giant half to its passionate and dedicated group.
In distinction to Clay’s bleak projections, different analysts keep a bullish outlook on XRP. Bobby A, a distinguished market observer, noted final month that the $2 vary for XRP may, in hindsight, develop into the following $0.30, a worth level many want that they had purchased throughout 2023 and 2024.
Additionally, in December 2024, market commentator Zach Rector stressed that XRP remained undervalued after hitting $2. Rector predicted that XRP may finally climb to $48, indicating his perception that the token nonetheless holds huge upside potential.
DisClamier: This content material is informational and shouldn’t be thought-about monetary recommendation. The views expressed in this text might embody the writer’s private opinions and don’t mirror The Crypto Fundamental opinion. Readers are inspired to do thorough analysis earlier than making any funding selections. The Crypto Fundamental will not be chargeable for any monetary losses.
