Expert To XRP Holders: I’ve Got Uncomfortable News For You

As market participants anticipate a potential surge in XRP’s value, several industry analysts have cautioned that offloading XRP during a major rally may prove more difficult than many investors ￰0￱ concern centers on the likelihood of declining liquidity during rapid price movements, which could restrict sellers from executing large transactions at their desired ￰1￱ Liquidity Could Hinder Profit-Taking Jake Claver, Chief Executive Officer of Digital Ascension Group, recently addressed this issue in a statement, emphasizing the need for investors to prepare for the operational realities of major market ￰2￱ we see some major price action come for XRP, I've got uncomfortable news for you….

a lot of exchanges won't have the liquidity to let you exit at market value, and with the supply shock, institutional buyers dominate OTC and retail will get stuck fighting for exposure… — Jake Claver, QFOP (@beyond_broke) October 3, 2025 According to Claver, when XRP begins to experience substantial upward momentum, many exchanges may struggle to maintain sufficient liquidity to handle the surge in sell ￰3￱ explained that such a situation could create a temporary imbalance between buyers and sellers, with demand for liquidity far exceeding what exchanges can provide. This, he warned, would allow institutional investors, who often conduct over-the-counter (OTC) transactions, to dominate the market, while retail traders could find themselves unable to sell at optimal ￰4￱ advised XRP holders to prepare in advance by securing their assets in private wallets, developing a clear tax strategy, and planning for long-term wealth ￰5￱ noted that investors who fail to make these preparations could miss out on opportunities to maximize their returns during a potential price ￰6￱ Explain Why Selling at Target Prices May Be Unlikely Market commentator Diana echoed Claver’s position in a separate discussion, stressing that many XRP investors have unrealistic expectations about how liquidity functions during rapid ￰7￱ observed that a large number of holders intend to sell once XRP reaches specific price targets, such as $10 .

However, if too many traders attempt to sell simultaneously, market depth can quickly thin out, resulting in significant price ￰8￱ explained that in such cases, a trader placing a sell order at $10 might only receive an execution price closer to $8.50 or lower, depending on market conditions and trade ￰9￱ are on X, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) June 15, 2025 This discrepancy can cause substantial losses within seconds during periods of high ￰10￱ noted that this phenomenon is not unique to XRP but tends to be more pronounced when market participation becomes heavily ￰11￱ Activity May Further Reduce Market Liquidity Diana also pointed out that institutional trading practices contribute to this ￰12￱ most retail participants rely on public exchanges such as Coinbase or Kraken, major corporations and financial institutions typically transact through private OTC ￰13￱ private trades, though essential for large-scale settlements, effectively draw liquidity away from public exchanges during critical market moments.

Additionally, Diana highlighted Ripple’s recent acquisition of GTreasury as a factor that may further tighten XRP’s available ￰14￱ $1 billion integration of GTreasury is expected to increase the use of XRP within institutional payment systems, reducing the volume of tokens circulating on traditional ￰15￱ this development enhances XRP’s utility and strengthens its role in global payments, it could also limit retail investors’ ability to exit positions efficiently when prices rise ￰16￱ Claver and Diana urged investors to prepare before any significant rally ￰17￱ recommendations include moving assets from centralized exchanges to private wallets, establishing pre-set sell targets, and using limit orders rather than market orders to mitigate potential ￰18￱ agree that although optimism around XRP’s long-term prospects remains strong, traders must be proactive in managing liquidity ￰19￱ proper planning, retail investors could face significant challenges in realizing profits when market conditions become highly ￰20￱ : This content is meant to inform and should not be considered financial ￰21￱ views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s ￰22￱ are urged to do in-depth research before making any investment ￰23￱ action taken by the reader is strictly at their own ￰24￱ Tabloid is not responsible for any financial ￰25￱ us on Twitter , Facebook , Telegram , and Google News