XRP News: Evernorth Faces More Pain After $220M Loss as Top Analyst Predicts XRP Price Crash

Key Insights:

• On-chain expert CryptoQuant highlighted bearish XRP news of Evernorth’s $220 million unrealized loss.
• Ripple-backed XRP treasury firm holds 388 million coins, creating pressure on its stock.
• XRP ETF inflows streak continued since launch.
• Analysts predict further XRP price fall.

In a major XRP news today, Ripple-backed XRP treasury Evernorth Holdings has suffered an unrealized loss of $220 million. It happened as XRP price tumbled almost 50% from its July highs.

Top analysts predicted a further drop in prices towards $1. More pain ahead for Evernorth as Ripple’s XRP coin looks weak despite persistent inflows into XRP ETFs?

XRP News: Evernorth Holdings’ Losses Rise to $220 Million

According to on-chain analyst Maartunn, Ripple-backed Evernorth Holdings accumulated XRP heavily before the crypto market crash. The XRP treasury company now sits at a significant unrealized loss.

Ripple-backed Evernorth has been impacted by persistent bearish sentiment in the broader crypto market before the proposed merger. Evernorth holds over 388 million XRP coins.

CryptoQuant data showed Evernorth invested $947 million, making it one of the largest institutional holders. It has dropped to $723 million, leaving the firm vulnerable to market downturns.

As The Coin Republic reported in earlier XRP news, Evernorth started progress towards establishing the largest XRP treasury by merging with Armada Acquisition Corp II.

Ripple-backed XRP treasury started trading under the ticker symbol XRPN on Nasdaq. XRPN stock continued to hold upside for weeks amid XRP ETF inflows.

XRP ETF Continue Inflow Streak

Despite recent XRP price declines, XRP ETFs have continued to see positive inflows. This suggests that some investors remain optimistic about the long-term prospects.

At the time of writing, the total net inflow into XRP ETFs was $1.13 billion. The total assets under management (AUM) hit $1.25 billion.

While ETF inflows have recorded persistent inflows since launch, analysts caution that sustained inflows may not be enough.

Notably, Franklin Templeton’s XRPZ saw inflows of $8.19 million on Tuesday. This happened amid uncertainty on XRP price direction.

Amid this XRP news, market participants note that Evernorth’s XRP position could influence market sentiment. Traders are closely watching the firm’s next moves amid further XRP price drop risks.

Since reaching its peak in July, XRP price has tumbled almost 50%. Bearish sentiment has dominated trading, with many investors exiting their positions amid fears of further declines.

On-chain platform Santiment noted that XRP is witnessing far more negative social media commentary than average. Retail investors’ doubts about the coin’s ability to rise amid a bear market.

This sharp correction has also inflicted heavy losses on institutional holders such as Evernorth. However, XRP ETF inflows have prevented a further drop in XRP price.

Top Analyst Predicts XRP Price Crash to $1.10

Crypto analyst Ali Martinez predicted a crash in XRP price to $1.10. He cited whale selloffs and key support breaks as reasons for a bearish prediction.

He has joined other analysts and traders such as Peter Brandt to issue fresh warnings. Analysts claim a potential drop in XRP price from its current level of $1.86.

If XRP price started falling towards $1, institutional investors like Evernorth could face even steeper losses. This could increase selling pressure in the market.

At present, the outlook remains uncertain, with both retail and institutional participants closely monitoring price action.

XRP price fell 1% in the past 24 hours, trading at $1.86 at the time of writing. The 24-hour low and high were $1.84 and $1.89, respectively.

Furthermore, trading volume has decreased by 20% over the last 24 hours. This indicates a decline in trader interest amid the holiday season.

CoinGlass data confirmed selling in the derivatives market. At the time of writing, the total XRP futures open interest tumbled more than 1% to $3.48 billion in the last 4 hours.

XRP futures OI on CME and Binance tanked more than 0.40% and 1.77%, respectively. This signals negative sentiment amid crash jitters.