XRP has fallen significantly over the past few days, erasing much of the gains made in May and shifting from an upward to a downward movement as we enter June. As this altcoin faces the final month of Q2, traders and investors are wondering whether this downtrend will continue or if a recovery is possible.
XRP Does Not Have The Best Performance
Traditionally, June is a challenging month for XRP investors. Data from the past 11 years shows that the average monthly return of XRP in June is -8.49%. This pattern highlights that June may not be favorable for holders seeking profits, especially after recent losses.
The consistent historical trend shows that XRP may continue to face selling pressure in June. Investors should be cautious, as the typical seasonal weakness may exacerbate the current bearish sentiment, adding further pressure on the price of this altcoin.
Important XRP Investors Are Selling
Looking at broader market signals, the Coin Days Destroyed (CDD) data is showing a spike. CDD is the total number of days destroyed by investors selling, particularly from long-term holders (LTH).
It is measured by multiplying the amount of coin spent in a transaction by the number of days those coins have been held since their last movement. For example, if 100 coin are held for 10 days before being spent, then CDD equals 1,000 (100 coin × 10 days).
The CDD of XRP is currently at 337 billion, the highest level since December 2024. This spike in CDD indicates that many LTHs are selling their held XRP, likely to secure profits before the price falls further.
The sell-off by these seasoned investors indicates a weakening of XRP's ability to recover its previous gains in the near future. Considering that LTH is regarded as the backbone of an asset, any sell-off from them could negatively impact the price.
However, XRP has one good thing, which is that the SEC lawsuit has ended. It is expected to conclude soon, and this will be a major development for XRP, and Alexis Sirkia, the captain of Yellow, stated in an interview with BeInCrypto that he believes this will be the main catalyst in accelerating Ripple's ICO.
"Of course, people are waiting for the SEC lawsuit to end and the timing of Ripple's ICO. Ripple is the largest cryptocurrency holder in this space, even bigger than Strategy. Owning 50% of the XRP supply, Ripple if it becomes a public company would be an attractive investment with more than $120 billion of XRP in its treasury, which is twice as high as Microstrategy. Ripple will become the world's largest public cryptocurrency holder which I believe will attract attention and investment, which will positively affect the XRP price," Sirkia stated.
The price of XRP is heading towards a correction.
XRP has been on a 下行 trend since mid-May and is currently trading at 2.16 dollars. This altcoin remains above the important support level of 2.12 dollars, but the outlook suggests the possibility of a deeper fall as the decline intensifies.
If XRP breaks below the $2.12 support, the price may slide to $2.02, and if not, the price will drop to $1.94. This will mark a two-month low and could lead to increased selling pressure in the future. The relative strength index ( RSI ), which is below the neutral line in the bearish zone, supports this outlook. This shows a lack of buying motivation.
However, there is a factor that could change the direction of this altcoin sooner or later if it becomes a reality – XRP ETF. This is one of the most anticipated ETFs, but it has not yet been given the green light. When that happens, it is expected to attract significant investment into XRP. But Alexis Sirkia claims that the next thing for XRP may not be the ETF.
Sirkia stated: "It seems that there is a shift in interest from ETFs like Grayscale, which have significantly reduced their holdings, while companies holding Bitcoin like Strategy appear to be performing better and increasing their holdings. Therefore, newcomers to XRP like Hyperscale or VivoPower may actually become more relevant compared to XRP ETFs when they are approved, and as MicroStrategy ( currently indicates to us, that may not matter as long as investors have the option to invest indirectly in XRP."
Therefore, such exposure can certainly help the price increase significantly. Moreover, if smaller investors start accumulating XRP due to LTH selling, this altcoin could bounce back from the support level of $2.12. A recovery above the resistance level of $2.27 would invalidate the bearish argument and could potentially push the price of XRP up to $2.50.
The content is for reference only, not a solicitation or offer. No investment, tax, or legal advice provided. See Disclaimer for more risks disclosure.
What Can Be Expected from XRP in June 2025?
XRP has fallen significantly over the past few days, erasing much of the gains made in May and shifting from an upward to a downward movement as we enter June. As this altcoin faces the final month of Q2, traders and investors are wondering whether this downtrend will continue or if a recovery is possible. XRP Does Not Have The Best Performance Traditionally, June is a challenging month for XRP investors. Data from the past 11 years shows that the average monthly return of XRP in June is -8.49%. This pattern highlights that June may not be favorable for holders seeking profits, especially after recent losses. The consistent historical trend shows that XRP may continue to face selling pressure in June. Investors should be cautious, as the typical seasonal weakness may exacerbate the current bearish sentiment, adding further pressure on the price of this altcoin.
Important XRP Investors Are Selling Looking at broader market signals, the Coin Days Destroyed (CDD) data is showing a spike. CDD is the total number of days destroyed by investors selling, particularly from long-term holders (LTH). It is measured by multiplying the amount of coin spent in a transaction by the number of days those coins have been held since their last movement. For example, if 100 coin are held for 10 days before being spent, then CDD equals 1,000 (100 coin × 10 days). The CDD of XRP is currently at 337 billion, the highest level since December 2024. This spike in CDD indicates that many LTHs are selling their held XRP, likely to secure profits before the price falls further. The sell-off by these seasoned investors indicates a weakening of XRP's ability to recover its previous gains in the near future. Considering that LTH is regarded as the backbone of an asset, any sell-off from them could negatively impact the price.
However, XRP has one good thing, which is that the SEC lawsuit has ended. It is expected to conclude soon, and this will be a major development for XRP, and Alexis Sirkia, the captain of Yellow, stated in an interview with BeInCrypto that he believes this will be the main catalyst in accelerating Ripple's ICO.
"Of course, people are waiting for the SEC lawsuit to end and the timing of Ripple's ICO. Ripple is the largest cryptocurrency holder in this space, even bigger than Strategy. Owning 50% of the XRP supply, Ripple if it becomes a public company would be an attractive investment with more than $120 billion of XRP in its treasury, which is twice as high as Microstrategy. Ripple will become the world's largest public cryptocurrency holder which I believe will attract attention and investment, which will positively affect the XRP price," Sirkia stated. The price of XRP is heading towards a correction. XRP has been on a 下行 trend since mid-May and is currently trading at 2.16 dollars. This altcoin remains above the important support level of 2.12 dollars, but the outlook suggests the possibility of a deeper fall as the decline intensifies. If XRP breaks below the $2.12 support, the price may slide to $2.02, and if not, the price will drop to $1.94. This will mark a two-month low and could lead to increased selling pressure in the future. The relative strength index ( RSI ), which is below the neutral line in the bearish zone, supports this outlook. This shows a lack of buying motivation.
However, there is a factor that could change the direction of this altcoin sooner or later if it becomes a reality – XRP ETF. This is one of the most anticipated ETFs, but it has not yet been given the green light. When that happens, it is expected to attract significant investment into XRP. But Alexis Sirkia claims that the next thing for XRP may not be the ETF. Sirkia stated: "It seems that there is a shift in interest from ETFs like Grayscale, which have significantly reduced their holdings, while companies holding Bitcoin like Strategy appear to be performing better and increasing their holdings. Therefore, newcomers to XRP like Hyperscale or VivoPower may actually become more relevant compared to XRP ETFs when they are approved, and as MicroStrategy ( currently indicates to us, that may not matter as long as investors have the option to invest indirectly in XRP." Therefore, such exposure can certainly help the price increase significantly. Moreover, if smaller investors start accumulating XRP due to LTH selling, this altcoin could bounce back from the support level of $2.12. A recovery above the resistance level of $2.27 would invalidate the bearish argument and could potentially push the price of XRP up to $2.50.