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21 Jan 2026, 01:20

Hyperliquid Whale’s Staggering $50M Loss Unfolds After Insider Trading Allegations

BitcoinWorld Hyperliquid Whale’s Staggering $50M Loss Unfolds After Insider Trading Allegations In a dramatic reversal of fortune, a prominent Hyperliquid whale address, previously shrouded in controversy, has witnessed an unrealized loss of approximately $50 million in just four days. This staggering financial shift, reported by on-chain analytics firm Onchain Lens on January 17, 2025, underscores the extreme volatility and high-stakes risks inherent in leveraged cryptocurrency trading. The address, identified by its starting characters 0xb317, saw its position flip from a $40 million profit to a multi-million dollar deficit as markets turned. Hyperliquid Whale Loss: From Suspected Profits to Massive Deficit The core of this story revolves around a specific Hyperliquid whale and its leveraged portfolio. According to the data, this entity held highly aggressive long positions across three major assets. The whale maintained a 5x leveraged long on 1,000 Bitcoin (BTC) with an average entry price of $91,506. Furthermore, it held a 5x leveraged long on 223,340 Ethereum (ETH) at an average price of $3,161. Most aggressively, the address held a 10x leveraged long position on Solana (SOL) with an average entry point of $130. Consequently, the rapid market downturn in mid-January 2025 triggered significant liquidation pressure on these positions, erasing paper gains and creating substantial unrealized losses. Context of Previous Insider Trading Allegations This incident gains deeper significance due to the whale’s controversial history. Onchain analysts had previously flagged this same address for suspicious activity ahead of a major market event in October of the previous year. Specifically, the whale was suspected of profiting from potential insider information before the largest-ever liquidation event on the Hyperliquid platform at that time. While no formal charges have been publicly confirmed, the pattern of activity drew intense scrutiny from the crypto community and monitoring services. Therefore, the current loss adds a complex layer of poetic justice to the narrative, demonstrating that even whales with potential informational advantages are not immune to market forces. The Mechanics of Leverage and Liquidation Risk To understand the scale of this loss, one must grasp the mechanics of leverage in decentralized finance (DeFi). Leverage amplifies both gains and losses. For instance, a 5x long position means a 1% price drop results in a 5% loss of the trader’s collateral. The whale’s 10x SOL position was exceptionally risky. A sharp price decline can quickly trigger automatic liquidations, where the protocol sells the collateral to repay the borrowed funds. The table below illustrates the sensitivity of the whale’s positions: Asset Leverage Approx. Price Drop to Trigger Liquidation* Bitcoin (BTC) 5x ~18-20% Ethereum (ETH) 5x ~18-20% Solana (SOL) 10x ~9-10% *Estimates based on standard DeFi liquidation thresholds; exact levels vary by protocol. Broader Market Impact and Regulatory Implications This event is not isolated. It reflects broader trends of deleveraging and risk reassessment in the crypto markets during early 2025. Large, concentrated positions like this one can exacerbate market moves when they unwind, potentially causing cascading liquidations for other traders. Moreover, the recurrence of addresses linked to prior insider trading suspicions highlights ongoing challenges in DeFi market surveillance. Regulatory bodies globally are increasingly focused on: Market Manipulation: Detecting and preventing abusive trading practices on decentralized exchanges. Transparency: Advocating for clearer on-chain labeling and entity identification. Investor Protection: Addressing the risks of high leverage available to retail participants. This case may serve as a pivotal reference point in discussions about DeFi oversight. Expert Analysis from On-Chain Investigators On-chain analytics firms like Onchain Lens, which reported this development, play a crucial role in bringing transparency to blockchain activity. Their work involves tracking fund flows, identifying wallet clusters, and flagging anomalous behavior. In this instance, their reporting provided verifiable, data-driven evidence of the whale’s changing financial state. Experts in this field note that while blockchain is transparent, interpreting the data requires sophisticated tools and expertise—a gap that services like these aim to fill. The identification of this whale’s losses relied on analyzing public blockchain data, including transaction histories and position states on the Hyperliquid perpetual contracts platform. Conclusion The staggering $50 million loss faced by the Hyperliquid whale, particularly one linked to past insider trading allegations, is a potent reminder of cryptocurrency market volatility. It underscores the double-edged sword of leverage and the ever-present risk of liquidation, even for large, sophisticated actors. Furthermore, this event reinforces the importance of on-chain analysis for market transparency and the ongoing regulatory conversation around DeFi. As the market evolves, the tale of address 0xb317 will likely be cited as a cautionary example of risk management and market integrity. FAQs Q1: What is a “whale” in cryptocurrency? A whale is a term for an individual or entity that holds a large enough amount of a cryptocurrency to potentially influence its market price through trades. Q2: What does “unrealized loss” mean? An unrealized loss is a decrease in the value of an open investment position that has not yet been sold or closed. The loss is “on paper” until the position is liquidated. Q3: What is Hyperliquid? Hyperliquid is a decentralized exchange (DEX) and perpetual contracts platform built on its own high-performance blockchain, focused on low fees and fast trading. Q4: How can an address be linked to insider trading allegations? On-chain analysts look for patterns, such as large, well-timed trades immediately before major news or liquidation events that are not publicly known, and track the wallet’s history across protocols. Q5: Why is a 10x leverage position so risky? A 10x leverage position magnifies price movements tenfold. A relatively small price move against the position (e.g., -10%) can lead to a total loss of the trader’s initial collateral through automatic liquidation. This post Hyperliquid Whale’s Staggering $50M Loss Unfolds After Insider Trading Allegations first appeared on BitcoinWorld .

21 Jan 2026, 01:16

Crypto market crash deepens as investors digest Trump tariff threat

Crypto markets sell off as US stocks and global markets react to President Trump’s new tariff threats. Will the tensions put a stop to Bitcoin's start-of-year recovery?

21 Jan 2026, 01:10

Bitcoin Price Prediction: Tom Lee’s Bold Forecast Reveals Early Dip Before Monumental Rebound

BitcoinWorld Bitcoin Price Prediction: Tom Lee’s Bold Forecast Reveals Early Dip Before Monumental Rebound NEW YORK, January 2025 – Fundstrat Chairman Tom Lee has delivered a compelling Bitcoin price prediction that outlines a challenging start to the year followed by a potentially historic recovery. His analysis, presented on the Master Investor podcast, suggests Bitcoin could experience significant volatility in early 2025 before reaching unprecedented heights. This forecast comes amid ongoing market uncertainty and provides crucial insights for investors navigating the evolving cryptocurrency landscape. Tom Lee’s Bitcoin Price Prediction for 2025 Tom Lee’s Bitcoin price prediction represents one of the most detailed market analyses for 2025. The Fundstrat chairman anticipates a painful decline in both cryptocurrency and traditional stock markets during the initial months. However, he projects a strong recovery toward year-end that could propel Bitcoin to new all-time highs. This forecast builds upon Lee’s established track record in market analysis and his deep understanding of macroeconomic factors influencing digital assets. Market analysts have noted that Lee’s Bitcoin price prediction aligns with historical patterns of cryptocurrency market cycles. Historically, Bitcoin has experienced significant corrections followed by substantial recoveries. For instance, the 2018 bear market saw Bitcoin decline approximately 84% from its peak before beginning a multi-year recovery. Similarly, the 2022 market downturn resulted in a 77% decline from all-time highs before the subsequent rebound. Geopolitical Factors Influencing Market Corrections Lee specifically identified tariffs and geopolitical instability as primary catalysts for potential market corrections. These external factors could create significant headwinds for both traditional and digital asset markets. The ongoing tension between major economic powers has already demonstrated measurable impacts on global financial systems. Consequently, investors should monitor these developments closely throughout 2025. Recent data from international trade organizations shows increasing protectionist measures across multiple economies. These developments typically correlate with market volatility across asset classes. Furthermore, cryptocurrency markets have shown increasing sensitivity to macroeconomic policy decisions in recent years. This represents a maturation of the asset class but also introduces new variables for price prediction models. Historical Context of Market Corrections Market corrections represent normal, healthy aspects of financial market cycles. The table below illustrates significant Bitcoin corrections and subsequent recoveries: Year Correction Percentage Recovery Timeframe New All-Time High After 2014-2015 86% 2 years 2017 2018 84% 1.5 years 2020 2022 77% 1 year 2024 This historical perspective provides context for Lee’s Bitcoin price prediction. Market corrections have consistently preceded significant rallies throughout Bitcoin’s history. The pattern suggests that disciplined investors who maintain long-term perspectives often benefit from these cyclical movements. Bitcoin’s Path to New All-Time Highs Lee’s analysis suggests Bitcoin could reach new all-time highs in 2025, signaling a complete recovery from the October leverage liquidations. This recovery would represent a significant milestone for the cryptocurrency ecosystem. The previous all-time high of approximately $98,000, reached in late 2024, established a new benchmark for Bitcoin’s valuation. Surpassing this level would validate the asset’s long-term growth trajectory. Several fundamental factors support this optimistic Bitcoin price prediction: Increasing institutional adoption continues to expand Bitcoin’s investor base Regulatory clarity in major markets provides more stable operating environments Technological advancements in layer-2 solutions improve scalability and utility Macroeconomic conditions including monetary policy may favor alternative assets These developments collectively create favorable conditions for Bitcoin’s potential appreciation. However, investors should recognize that cryptocurrency markets remain inherently volatile. Price predictions represent educated projections rather than guaranteed outcomes. The Crypto-Gold Decoupling Phenomenon Lee commented extensively on the recent decoupling between cryptocurrency and gold markets. This divergence represents a significant development in alternative asset correlations. Historically, both assets have shown some correlation as potential hedges against traditional financial systems. However, repeated deleveraging events have weakened market maker functions, contributing to this decoupling. The cryptocurrency-gold relationship has evolved considerably since Bitcoin’s inception. Initially, many analysts described Bitcoin as “digital gold” due to its limited supply and store-of-value characteristics. While both assets share some similar properties, their market behaviors have increasingly diverged. This separation reflects cryptocurrency markets’ unique characteristics and maturation process. Market Structure and Institutional Participation Lee suggested that market instability might persist until institutional participation expands sufficiently. This observation highlights the ongoing evolution of cryptocurrency market structure. Institutional investors typically bring several important characteristics to financial markets: Increased liquidity through larger trade volumes More sophisticated risk management practices Longer investment time horizons Greater emphasis on fundamental analysis These factors collectively contribute to more stable and efficient markets. The cryptocurrency ecosystem has made significant progress in attracting institutional participation. Major financial institutions now offer cryptocurrency services, and regulatory frameworks continue to develop. These developments support Lee’s Bitcoin price prediction by creating more robust market foundations. Comparative Analysis: Bitcoin vs. Traditional Assets Understanding Bitcoin’s potential trajectory requires comparison with traditional asset classes. While Lee’s Bitcoin price prediction focuses specifically on cryptocurrency markets, the broader financial context remains crucial. Traditional assets including stocks, bonds, and commodities face their own challenges in the current economic environment. Several key differences distinguish Bitcoin from traditional assets: Supply characteristics: Bitcoin’s predetermined supply schedule differs from fiat currencies Market hours: Cryptocurrency markets operate continuously without traditional closures Regulatory status: Digital assets face evolving regulatory frameworks globally Technological foundation: Bitcoin’s value derives partly from its underlying blockchain technology These distinctions help explain why Bitcoin might follow different price patterns than traditional assets. However, increasing institutional adoption has created some convergence in market behaviors. This evolving relationship makes comprehensive analysis essential for accurate price prediction. Risk Factors and Market Considerations While Lee’s Bitcoin price prediction presents an optimistic long-term outlook, investors must consider several risk factors. Cryptocurrency markets remain subject to unique vulnerabilities that could impact price trajectories. These considerations provide necessary context for any market forecast. Primary risk factors for Bitcoin in 2025 include: Regulatory developments in major markets could create uncertainty Technological challenges including security vulnerabilities or scalability issues Macroeconomic conditions affecting all risk assets Market structure issues including liquidity constraints during stress periods Investors should incorporate these factors into their decision-making processes. Diversification and risk management remain essential principles for cryptocurrency investment. Furthermore, individual financial circumstances and risk tolerance should guide investment decisions rather than any single price prediction. Conclusion Tom Lee’s Bitcoin price prediction provides valuable insights for investors navigating 2025’s complex financial landscape. His analysis suggests potential early-year volatility followed by substantial recovery, possibly reaching new all-time highs. This forecast considers geopolitical factors, market structure developments, and historical patterns. While cryptocurrency markets remain inherently unpredictable, informed analysis helps investors make better decisions. The evolving relationship between traditional and digital assets continues to shape investment opportunities across global markets. FAQs Q1: What specific factors does Tom Lee cite for Bitcoin’s potential early-year decline? Lee identifies tariffs and geopolitical instability as primary catalysts that could cause market corrections in early 2025. These external factors might create headwinds for both cryptocurrency and traditional financial markets. Q2: How does Lee’s Bitcoin price prediction compare to historical market patterns? Lee’s forecast aligns with Bitcoin’s historical tendency to experience significant corrections followed by substantial recoveries. Previous cycles have shown similar patterns of decline and subsequent rally to new highs. Q3: What does Lee mean by the “crypto-gold decoupling” phenomenon? This refers to the decreasing correlation between cryptocurrency and gold markets. Repeated deleveraging events have weakened market maker functions, contributing to this divergence in asset price movements. Q4: Why does Lee believe institutional participation is crucial for market stability? Institutional investors typically bring greater liquidity, sophisticated risk management, and longer time horizons. These factors contribute to more stable and efficient market structures in traditional finance. Q5: What risk factors should investors consider alongside Lee’s Bitcoin price prediction? Investors should consider regulatory developments, technological challenges, macroeconomic conditions, and market structure issues. These factors could impact Bitcoin’s price trajectory regardless of analyst predictions. This post Bitcoin Price Prediction: Tom Lee’s Bold Forecast Reveals Early Dip Before Monumental Rebound first appeared on BitcoinWorld .

21 Jan 2026, 01:05

Delaware Life Teams Up With BlackRock To Bring Bitcoin Exposure To Annuities

Delaware Life is taking a new step toward mainstreaming Bitcoin exposure in retirement-style products, adding a BlackRock -built index that blends US equities and Bitcoin to its fixed indexed annuity lineup. The insurer, which sits within Group 1001, said Tuesday it has added the BlackRock US Equity Bitcoin Balanced Risk 12% Index to its fixed indexed annuity portfolio, calling it the first time an insurance carrier has offered an index that includes cryptocurrency. Fixed indexed annuities, or FIAs, typically protect the policyholder’s principal while crediting interest that is linked to a market index, often with caps or other limits on upside. The new index is designed to deliver exposure to the iShares Core S&P 500 ETF alongside the iShares Bitcoin Trust ETF, and it targets 12% volatility by adding a cash component that can dial risk up or down. Delaware Life Insurance Company, a Group 1001 insurance subsidiary, announced the addition of the BlackRock U.S. Equity Bitcoin Balanced Risk 12% Index to its fixed indexed annuity (FIA) product lineup, making it the first U.S. insurer to introduce bitcoin exposure within this… — Wu Blockchain (@WuBlockchain) January 20, 2026 Delaware Life Blends Crypto Access With Capital Preservation Delaware Life framed the move as a way to let investors add Bitcoin exposure without handling coins directly, while keeping the principal protection structure that defines the FIA wrapper. “We’re proud to partner with BlackRock as the first insurance carrier to offer cryptocurrency exposure through a fixed index annuity,” said Colin Lake, president & CEO of Delaware Life Marketing. “As the retirement-planning landscape evolves, we’re continuously and thoughtfully innovating to meet the needs of financial professionals and their clients. Our fixed index annuities deliver what today’s investors want and need: opportunity for growth with protection.” Demand For Bitcoin Exposure Pushes Deeper Into Retirement Products Meanwhile, BlackRock’s Robert Mitchnick tied the launch to demand for Bitcoin exposure through familiar rails, saying the index aims for a measured approach that keeps the downside protection annuity buyers expect. At the same time, the index option will be available on three Delaware Life products, Momentum Growth, Momentum Growth Plus, and DualTrack Income, as traditional finance keeps experimenting with ways to package crypto exposure inside regulated products. The launch also leans on the momentum behind BlackRock’s spot Bitcoin vehicle, with iShares’ site listing tens of billions of dollars in net assets for IBIT. The post Delaware Life Teams Up With BlackRock To Bring Bitcoin Exposure To Annuities appeared first on Cryptonews .

21 Jan 2026, 01:05

Bitcoin Plunges Below $90K: Stark Reality of Geopolitical Tensions and Bond Market Correlation

BitcoinWorld Bitcoin Plunges Below $90K: Stark Reality of Geopolitical Tensions and Bond Market Correlation Global cryptocurrency markets experienced a significant tremor this week as Bitcoin, the leading digital asset, broke below the psychologically important $90,000 threshold. This sharp Bitcoin price drop, reported by Bloomberg, mirrors simultaneous declines in U.S. equities and both long-term U.S. and Japanese government bonds. Consequently, analysts now point to a complex web of external pressures, including aggressive foreign policy rhetoric and capital flight from risk assets, as the primary drivers behind this market-wide correction. Bitcoin Price Drop and the Macroeconomic Perfect Storm The descent of BTC below $90,000 did not occur in isolation. According to market data, the move coincided with a pronounced sell-off in traditional risk-on assets. Specifically, the S&P 500 and Nasdaq Composite indices recorded their worst weekly performances in months. Simultaneously, yields on 10-year U.S. Treasury notes and Japanese Government Bonds (JGBs) spiked unexpectedly. This synchronous movement across asset classes signals a broad-based investor retreat from volatility. Market historians often note that Bitcoin and major stock indices have shown increasing correlation during periods of macroeconomic stress. However, the current scenario presents a nuanced picture. The Bloomberg analysis identifies two immediate geopolitical catalysts disrupting capital flows. First, renewed tariff threats from the U.S. administration targeting European Union goods have reignited trade war anxieties. Second, diplomatic friction concerning Greenland’s strategic resources has introduced another layer of uncertainty into global markets. Decoding the Flight to Safety Amidst Uncertainty In times of market turmoil, capital typically seeks shelter. The current environment provides a textbook example of this behavior. As Bitcoin and equities fell, traditional safe-haven assets witnessed substantial inflows. Gold prices surged to a multi-month high, while the U.S. dollar index (DXY) strengthened against a basket of major currencies. This rotation underscores a fundamental shift in investor psychology from growth-seeking to capital preservation. The mechanism behind this shift is relatively straightforward. Geopolitical instability creates fear of disrupted trade, supply chain bottlenecks, and inflationary pressures. Investors, in response, liquidate positions in perceived riskier assets like technology stocks and cryptocurrencies. They then reallocate those funds into assets with centuries-long reputations for stability during crises. The speed of this recent rotation, however, has caught many market participants off guard. Expert Analysis on the $90,000 Technical Level Technical analysts universally regard key psychological price levels as critical support or resistance zones. For Bitcoin, the $90,000 mark represented a major consolidation area established over the preceding quarter. A sustained break below this level, therefore, carries significant technical weight. Several prominent trading firms have published notes indicating that a failure to reclaim $90,000 swiftly could open the door for a deeper correction toward the next major support cluster around $82,000. “The $90,000 level was more than just a number; it was a convergence point of moving averages and trading volume,” stated a market strategist from a major financial data firm. “Its breach signals that selling pressure has overwhelmed the medium-term bullish narrative, at least temporarily. The market’s next focus will be on whether this is a liquidity-driven shakeout or the start of a more fundamental re-pricing.” The Ripple Effect Across Crypto and Related Equities The sell-off extended far beyond Bitcoin, creating a sea of red across the digital asset ecosystem. Major altcoins like Ethereum (ETH) and Solana (SOL) experienced declines that often exceeded Bitcoin’s percentage drop. This phenomenon, known as ‘beta play,’ sees altcoins amplify Bitcoin’s movements due to their typically higher volatility and lower liquidity. Publicly traded companies with heavy cryptocurrency exposure faced similar pressure. Shares of Coinbase Global, Inc. (COIN), the largest U.S. crypto exchange, fell sharply. MicroStrategy Incorporated (MSTR), known for its substantial Bitcoin treasury, also saw significant declines. The table below illustrates the correlated moves across these assets during the 24-hour peak of the sell-off. Asset Performance During Market Sell-Off Asset Symbol Approximate Decline Key Driver Bitcoin BTC -8.5% Macro Risk-Off, Geopolitics Ethereum ETH -12.0% High Beta to BTC, Network Activity Solana SOL -14.5% High Beta, Liquidity Concerns Coinbase Stock COIN -11.0% Lower Trading Volume Outlook MicroStrategy Stock MSTR -15.0% BTC Treasury Markdown This broad-based decline highlights the interconnected nature of modern digital asset markets. A shock to the core asset, Bitcoin, transmits rapidly through the entire sector. It affects mining companies, exchanges, and decentralized finance (DeFi) protocols by reducing expected revenue and increasing risk assessments. Historical Context and Forward-Looking Indicators To understand the present, one must examine the past. Bitcoin has weathered numerous geopolitical and macroeconomic storms throughout its history. Previous events, such as the U.S.-China trade war escalations in 2019 or the initial market panic during the COVID-19 pandemic in March 2020, also triggered sharp corrections. In each case, the market eventually found a bottom and resumed its long-term trajectory, though not without significant volatility. Key indicators that analysts will monitor in the coming weeks include: On-Chain Metrics: Exchange net flows, whale wallet movements, and miner selling pressure. Macro Data: U.S. CPI inflation reports, Federal Reserve commentary, and bond auction results. Geopolitical Developments: Resolution or escalation of the cited tariff threats and Greenland discussions. Market Structure: Futures funding rates, open interest, and the dominance of stablecoin inflows. These data points will provide evidence of whether the current downturn represents a healthy correction within a bull market or a more significant trend reversal. Market sentiment, as measured by tools like the Crypto Fear & Greed Index, has plunged from ‘Greed’ to ‘Fear’ territory, which contrarian investors sometimes view as a potential buying opportunity. Conclusion The recent Bitcoin price drop below $90,000 serves as a potent reminder of digital assets’ growing sensitivity to traditional macroeconomic and geopolitical forces. This event was not merely a crypto-native occurrence but part of a global capital rotation away from risk. The breach of a key technical level has shifted the short-term market narrative, forcing investors to reassess their exposure. While the long-term fundamentals for blockchain technology remain unchanged, the path forward will likely depend on the resolution of external uncertainties and the market’s ability to rebuild support. As capital seeks safety in gold and bonds, the cryptocurrency market’s maturation is being tested by the very traditional forces it once sought to transcend. FAQs Q1: What caused Bitcoin to fall below $90,000? The primary drivers were a broad market risk-off sentiment triggered by geopolitical tensions, including U.S. tariff threats and friction over Greenland. This led to synchronized declines in stocks and bonds, prompting capital to flee risk assets like Bitcoin for safe havens like gold. Q2: Why do bond market declines affect Bitcoin? Rising bond yields (which cause price declines) can make risk-free returns more attractive relative to volatile assets like Bitcoin. They also signal expectations of higher interest rates or inflation, which can tighten financial conditions and reduce liquidity available for speculative investments. Q3: Is the $90,000 level important for Bitcoin’s price? Yes, technical analysts view it as a critical psychological and technical support level. A sustained break below it can trigger automated selling and shift market sentiment from bullish to cautious, potentially leading to a test of lower support levels. Q4: Did other cryptocurrencies fall as well? Absolutely. Major altcoins like Ethereum (ETH) and Solana (SOL) fell by even larger percentages than Bitcoin in a typical ‘high beta’ move. Related equities, such as Coinbase (COIN) and MicroStrategy (MSTR) stock, also declined significantly. Q5: Where is the capital going instead of Bitcoin? Analysis indicates a rotation into traditional safe-haven assets. The main beneficiaries appear to be gold, which saw a price surge, and the U.S. dollar. Some capital may also be moving into short-term government debt as investors seek stability and wait for the uncertainty to pass. This post Bitcoin Plunges Below $90K: Stark Reality of Geopolitical Tensions and Bond Market Correlation first appeared on BitcoinWorld .

21 Jan 2026, 01:00

XRP Faces Fresh Pressure: Is a Drop to $1.40 Coming?

XRP has come under renewed pressure in recent days, moving in line with broader weakness across the cryptocurrency market. After reaching a local high in mid-January, the asset has experienced a notable correction, raising questions about where meaningful support may emerge if selling pressure continues. While XRP has staged a modest recovery from its most recent low, technical analysis suggests that deeper declines remain a possibility under unfavorable market conditions. From its January 14 high near $2.19, XRP declined by more than 10%, briefly trading as low as $1.84 earlier today. This move triggered significant forced liquidations, with data showing more than $29 million in long positions wiped out during the downturn. Although XRP has since rebounded to approximately $1.93 , the recovery has not yet invalidated the broader corrective structure. Market Context and Near-Term Outlook On a broader timeframe, XRP remains down roughly 18% from its yearly peak near $2.41. While short-term price action has stabilized, uncertainty across the crypto market continues to weigh on sentiment. Macroeconomic pressures and declining risk appetite have limited upside momentum across many digital assets, including XRP. In the near term, a recovery above the $2.00 level could help restore confidence and potentially open the door to a retest of higher resistance zones. However, analysts caution that such a move may face significant obstacles, particularly if overall market conditions remain fragile. I currently see a 3 wave corrective move up into the 5 Day ribbon for #xrp into the resistance of a red sell dot. If $xrp nukes I have my eyes on this multi year supporting trendline where we have been buying each dip HUGE with success since 2020. I would like to see XRP… pic.twitter.com/Jw5gR5huS2 — CoinsKid (@Coins_Kid) January 18, 2026 Potential Rebound Toward Overhead Resistance Market analyst CoinsKid recently addressed XRP’s technical position using a five-day chart, outlining both upside and downside scenarios. According to his analysis, XRP could attempt a short-term recovery from recent lows, but any upward movement may encounter selling pressure near the region he identifies as the five-day ribbon. This ribbon aligns with a potential resistance zone near $2.50, an area also reinforced by a descending trendline. CoinsKid views this region as a likely point where selling interest could re-emerge, limiting further upside unless XRP can decisively reclaim and hold above it. Multi-Year Support Trendline Comes Into Focus If XRP fails to sustain a recovery and instead resumes its decline, attention may shift to a long-standing ascending support trendline that has been in place since 2020. CoinsKid highlights this trendline as a critical structural level on the five-day chart, noting that it has consistently absorbed downside pressure during prior corrections. We are on X, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) June 15, 2025 According to the analyst, XRP has historically found demand each time the price approached this support, preventing more severe breakdowns. Based on current chart positioning, this trendline now intersects near the $1.40 level. A move toward this area would represent an additional decline of nearly 30% from current prices. CoinsKid notes that he has personally used this trendline as a reference point for long-term entries over several years, citing repeated instances where it coincided with meaningful price reversals. However, he emphasizes that reaching this zone would require further downside confirmation and continued weakness in the broader market. Historical Precedent Strengthens Support Significance The last notable interaction with this ascending support occurred in November 2024, when XRP declined sharply during a fourth-quarter correction. At that time, the price approached the lower end of the $0.50 region, aligning closely with the trendline. CoinsKid identified that move as a high-probability entry point, which was later followed by a substantial rally into early 2025. Additional caution comes from XRP’s position relative to what CoinsKid refers to as the “CoinsKid Ribbon,” a technical zone that serves as a broader trend filter. XRP has remained below this ribbon since October 2025, recording multiple closes beneath it. This behaviour reinforces the view that bearish momentum has not yet been fully resolved. According to CoinsKid’s wave analysis, further declines could represent an extension of a corrective structure that began after XRP’s July 2025 peak near $3.66. Unless a sharp recovery invalidates this setup, the multi-year ascending support trendline remains a key level to monitor in the event of continued downside. While XRP has shown signs of short-term stabilization, the technical landscape suggests that risk remains elevated. Should selling pressure intensify, the multi-year support near $1.40 stands out as a critical area that could determine the asset’s next major move. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on Twitter , Facebook , Telegram , and Google News The post XRP Faces Fresh Pressure: Is a Drop to $1.40 Coming? appeared first on Times Tabloid .