XRP Price Crash to $0.60? Analysts Warn of Sharp Correction
XRP has once again caught the attention of the crypto community not only due to its recent price surge but also due to concerns over its centralized coin supply. Crypto analyst IncomeSharks said that more than 43% of XRP tokens remain locked and uncirculated, raising concerns that XRP could soon fall to $0.60.
Ripple holds 43% of XRP
IncomeSharks noted in a recent tweet that nearly half of the total XRP supply remains locked. Ripple, the company behind XRP, Controls 38.9 billion tokens in its escrow account. This level of centralization raises investor concerns about the possibility of manipulation.
“Imagine if you saw on Pump Fun that the developer owned 43% of the supply,” the analyst commented, which is similar to highly centralized coins that often raise concerns about manipulation.
XRP price plummets to $0.60
To back up his criticism, IncomeSharks shared a chart showing XRP’s historical price trends. The chart reveals a familiar pattern: sharp price increases followed by sharp corrections. In April 2021, XRP surged to nearly $2 but lost 75% of its value within two months.
Likewise, after hitting $3.40 in 2018, the coin plunged 92% shortly after, indicating that its price was heavily influenced by speculative trading.
recent, XRP surges to $2.74an impressive 410% increase in just one month. At the same time, the chart suggests that following past patterns, another correction to $0.60 is possible, a nearly 4x drop from current price levels.
Pump and dump accusations
IncomeSharks notes that XRP is often criticized for its frequent price increases followed by sharp declines (known as pump-and-sell cycles). A big reason for this concern is that Ripple still holds a large amount of XRP tokens, which gives them significant control over its supply.
IncomeSharks added that there’s a reason many in the cryptocurrency space don’t trust the coin, reflecting widespread skepticism in the community
