XRP’s 24% Drop Has Investors on Edge—But Is Selling a Big Mistake?

XRP holders are feeling the pressure. The cryptocurrency has lost nearly a quarter of its value in the last 30 days, making some investors question whether it’s time to cash out. But a deeper look at the numbers—and some major institutional moves—suggests that selling now might not be the smartest play.

Japan’s Banking Sector Is Betting Big on XRP

By the end of 2025, nearly 80% of Japan’s banks are expected to use XRP for international money transfers. That’s a staggering adoption rate in a country with the fourth-largest economy in the world.

The reason is simple: banks want faster, cheaper transactions. Traditional systems like SWIFT are slow and costly, but XRP allows them to move money across borders almost instantly. This shift isn’t just a win for the banks—it’s a massive boost to XRP’s long-term value.

If Japan’s financial system integrates XRP at this scale, demand for the cryptocurrency will remain strong. Selling now could mean missing out on the potential price surge that follows.

Institutional Interest Is Growing in the U.S.

It’s not just Japan making moves. In the U.S., financial heavyweights like Bank of America and JPMorgan are already holding XRP. Meanwhile, there’s talk of including it in a national cryptocurrency repository if regulators move forward with the idea.

If that happens, institutional adoption will likely skyrocket. Banks and financial firms tend to be conservative with their investments, so their interest in XRP signals confidence in its future.

For individual investors, this could mean major price appreciation down the road. Selling now might feel like cutting losses, but it could also mean missing a significant rally if institutional backing strengthens further.

Daily Trading Volume Keeps the Network Thriving

One of the most overlooked aspects of XRP’s value is its massive daily trading volume. As of February 21, over $5.6 billion worth of XRP changed hands in just 24 hours. Every transaction generates small fees that circulate back into the ecosystem, contributing to its long-term sustainability.

This built-in economic engine keeps XRP active and relevant, even during downturns. And with major banks adopting it, that volume is likely to keep growing.

ETFs Could Be a Game-Changer for XRP

The Securities and Exchange Commission (SEC) has been slow to approve cryptocurrency exchange-traded funds (ETFs), but that could soon change. If XRP gets the green light for an ETF, it would bring in a wave of new investors from traditional finance who prefer regulated investment vehicles over direct crypto purchases.

More importantly, an ETF would provide deeper liquidity, making it even more attractive for institutional investors. Banks and corporations tend to favor assets that are easy to trade at scale. If XRP reaches that point, demand could surge, pushing prices higher.

Should You Sell or Hold?

Selling XRP right now locks in losses and eliminates the chance to benefit from its potential comeback. While short-term price drops can be unsettling, long-term growth drivers like bank adoption, institutional backing, and potential ETF approval remain strong.

For those who can afford to wait, holding—or even buying more at lower prices—might be the better play. XRP’s fundamentals haven’t changed, and if anything, they’re looking stronger than ever.