XRP Avenger (@XRP_Avengers), a well-known figure in the cryptocurrency community, recently issued a stark warning to XRP investors. In a post on X, he asserted that “95% of $XRP holders will likely sell out at $10, missing out on the real gains.”
This statement has stirred discussions in the crypto world, as many investors have been waiting for years for an XRP surge, and the digital asset has yet to show concrete signs of a massive rally.
Like many XRP advocates, XRP Avenger believes XRP investors might prematurely cash out their holdings when the price reaches $10. This behavior would result in these investors missing out on the “real gains” that could materialize if they held onto their investments for a longer period. XRP Avenger emphasizes that those who sell early might mistakenly believe they are locking in profits, only to realize later that they exited too soon.
The potential consequences of cashing out into stablecoins, particularly Tether, have become a growing concern. Tether has faced persistent allegations of issuing USDT without sufficient reserves to back the tokens.
A recent report suggests that this market manipulation may have contributed to the creation of bubbles in Bitcoin and Ethereum, which could burst if Tether’s reserves are proven inadequate.
Should such a collapse occur, investors who convert their XRP into USDT could find themselves exposed to significant losses. In addition to missing out on massive XRP gains, these investors could find themselves in a similar position as Terra investors did when the ecosystem collapsed in 2022.
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Dumb Money Investors
JD (@jaydee_757), a prominent market analyst, has also echoed these concerns. He has referred to the 95% of XRP holders who may sell early as “dumb money investors.” He pointed out that these Investors experienced the same thing in 2017 and 2021, selling their XRP due to uncertainty shortly before massive rallies.
JD’s assessment aligns with XRP Avenger’s warning, suggesting that those who sell at $10 might be acting out of fear or impatience, rather than strategic foresight.
The importance of long-term thinking and the risks associated with premature exits are important considerations for crypto investors. Selling XRP at $10 might seem like a prudent decision, as this is significantly higher than XRP’s all-time high of $3.84.
However, analysts have set targets of $44 and even higher, and selling at $20 could ultimately mean forfeiting larger gains in the future. Moreover, the potential instability of stablecoins like Tether adds another layer of risk for those who choose to cash out.
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.
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