XRP Retail Fear Grows as Santiment Signals a Buy Setup

  • Santiment says XRP fear has hit its highest level since March, often a contrarian buy signal.
  • Traders expect rotation from Bitcoin to altcoins as XRP holds above $2.90 support.
  • ETF delays and whale sell-offs weigh on XRP, but MACD shows bullish momentum building.

XRP is testing the patience of its holders again. As Bitcoin, Ethereum, and BNB set new highs, market data show retail traders turning anxious;  a pattern Santiment says could precede XRP’s next breakout.

At $2.98 today (CoinMarketCap), XRP has traded in a narrow range for weeks. But Santiment now reports that social chatter around the token shows its highest level of fear since March, when U.S. trade tensions rattled markets. Historically, such spikes in retail FUD have aligned with local bottoms, not tops.

XRP retail fear reaches its peak, and that’s a reliable buy zone

According to Santiment’s data, the XRP bullish-to-bearish ratio fell to 0.74 on October 4 and 0.86 on October 6. That swing toward bearish commentary mirrors conditions seen before past rallies, when traders grew overly fearful just before reversals.

“Markets move opposite to small-trader expectations,” Santiment noted, calling the setup a reliable buy signal for contrarian investors.

The same metric had reached 3.21 in mid-September, a level Santiment labeled “euphoric” and historically tied to local tops.

XRP Lags Bitcoin and Ethereum but Maintains Structure 

The XRP community is feeling the heat of other large-cap altcoins performing well, while it has remained trapped in consolidation. Amid the ongoing ‘Uptober’ bullish sentiment, Bitcoin (BTC) price surged to a new all-time high (ATH) of above $126k during the past 24 hours.

Ethereum price surged over 4% on Monday to almost retest its September peak above $4,730. Binance coin (BNB) has been rising in the past few weeks, and reached a new ATH in the past 24 hours of above $1,250.

However, XRP price has continued to experience a heightened resistance level of around $3.1. As such, the XRP community has been showing growing impatience.

ETF Delays and Exchange Supply Add Short-Term Pressure

The XRP community may be showing growing impatience amid rising odds for the delay of spot XRP ETFs final decision. Notably, the United States Securities and Exchange Commission (SEC) has been operating under a smaller workforce due to the ongoing government shutdown.

Earlier this month, the U.S. SEC missed its final decision on the Canary Litecoin ETF. With several spot XRP ETFs approaching their deadline in the coming days, the fear of spot XRP ETFs’ delay is palpable.

Low Demand from Whale Investors 

As Coin Edition reported on Monday, the supply of XRP on crypto exchanges has been rising significantly in the recent past. On major crypto exchanges, led by Binance and Bitfinex, the supply of XRP has surged to yearly highs. 

With the low demand for XRP from whale institutional investors, the community has been growing impatient amid the highly anticipated altseason 2025.

What’s Next for XRP Price?

From a technical analysis perspective, the XRP price has been preparing for a major bullish breakout year-to-date. The large-cap altcoin, with a fully diluted valuation of about $296 billion, has already broken out of a descending triangular pattern in the daily timeframe.

Source: TradingView

The XRP’s midterm bullish sentiment is bolstered by the MACD indicators, which recently flashed a buy signal. Notably, the XRP’s daily MACD line crossed above the signal and zero line. Meanwhile, the XRP price has been retesting the 100 Moving Average Simple (SMA) as a support level.

Related: XRP Price Prediction: Analysts Eye $3.60 Breakout As ETF Reviews Begin

Source: X

Crypto analyst Ali Martinez has predicted that the XRP price will rally towards $3.6 soon if the resistance level of around $3.1 is turned into a support level.

Related: 320 Million XRP Worth $950 Million Moved to Exchanges as Supply Spikes

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Source: https://coinedition.com/xrp-retail-fear-grows-as-santiment-signals-a-buy-setup/