The post XRP Faces Strong Social Discontent—Is A 50% Bullish Reversal Just Around The Corner? appeared on BitcoinEthereumNews.com.

As 2026 begins, XRP is starting the year on a bearish note, with investor sentiment plummeting to levels of extreme fear. Despite these challenging conditions, analysts are suggesting that this negativity may set the stage for a significant bullish reversal, drawing parallels to historical trends. Institutional Buyers Remain Active Reports indicate that periods of extreme sentiment have often preceded XRP rallies with impressive gains, at times exceeding 1,000%. Data from Santiment indicates that bearish mentions of XRP are now running 20-30% higher than the subdued averages seen in November.  This deepening negativity, coupled with XRP stabilizing between $1.8 and $1.9 mark, highlights “a classic market divergence”: sentiment continues to worsen while prices consolidate, suggesting that emotional capitulation is occurring faster than any fundamental deterioration. Beneath this wave of retail fear, however, institutional behavior paints a more positive picture. Spot XRP exchange-traded funds (ETFs) recorded inflows of approximately $424 million in December alone, making them the best-performing crypto ETF product.  This contrast between extreme retail sentiment—currently at an extreme fear level of 24—and substantial institutional accumulation, which stands at around $1.3 billion over the past 50 days, often precedes market reversals more reliably than sentiment readings alone indicate. 70-75% Chance Of Bullish Reversal For XRP, the current setup combines extreme fear readings with a social sentiment significantly above baseline levels, alongside price consolidation, creating a historical pattern that has led to substantial rallies multiple times since 2020.  For instance, back in the 2020-2021 cycle, XRP dropped to $0.17 amid the US Securities and Exchange Commission (SEC) lawsuit, followed by a 1,053% increase to $1.96 over just four months.  Today’s scenario mirrors this past occurrence. With institutional accumulation diverging sharply from retail capitulation, historical data suggests that this combination yields a 70-75% chance of a bullish reversal within the next two to…

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Filed under: News - @ January 3, 2026 5:02 am