XRP Just Flashed All the Weak Hands. Analyst Says It’s Time to Go Up

Markets often demand resilience before growth, and February 2026 proved to be a defining test for XRP investors. Amid sharp price swings and broader crypto volatility, many speculative traders were forced out of their positions, leaving stronger, long-term holders in control. This cleansing moment has left analysts examining whether the recent shakeout signals an imminent rebound.

Crypto analyst STEPH IS CRYPTO, a widely followed voice on X, highlighted this dynamic in a recent X post. Steph pointed to on-chain indicators that suggest XRP has just “flashed all the weak hands,” a phenomenon in which overleveraged and short-term holders exit, leaving the market primed for accumulation.

Steph emphasized that while capitulation can appear alarming, it often marks a turning point, setting the stage for renewed upward momentum.

The Weak Hands Flush

XRP fell roughly 30 % in February, testing lows near $1.11, as broader crypto markets reacted to macroeconomic uncertainty and heavy leverage liquidations. Steph observed that mass sell-offs, particularly in derivatives markets, forced overextended traders to exit, effectively reducing speculative noise.

On-chain analytics, including Glassnode’s NUPL (Net Unrealized Profit/Loss) chart, confirmed widespread capitulation, dipping into negative territory—a hallmark of market bottoms. Steph noted that the forced liquidation of roughly $775 million in XRP leverage during the “Black Monday” event further cleared weak positions, leaving stronger holders in command of the market.

Institutional Support Amid Volatility

Despite the intense short-term pressure, XRP attracted significant institutional attention. Steph highlighted that $1.2 billion in spot ETF inflows entered XRP-based products during the same period, signaling that long-term investors were buying the dip.

This institutional demand contrasts sharply with retail-driven panic selling and underscores the market’s underlying resilience. Analysts view this inflow as a critical factor that may help stabilize XRP prices and provide a platform for the next bullish cycle.

What This Means for XRP’s Recovery

The combination of washed-out weak hands and ongoing institutional accumulation creates an environment conducive to renewed growth. With reduced speculative pressure, the market may experience fewer abrupt liquidations, while steady inflows support long-term price stability.

Steph argued that these conditions often precede strong upward moves, noting that XRP now sits in a healthier, more balanced market structure than before the February downturn.

In essence, the recent correction may represent a pivotal moment for XRP. By clearing short-term traders and attracting patient capital, the market has laid the foundation for potential upward momentum. As Steph concluded, the data and on-chain signals suggest it is not just sentiment speaking—“it’s time to go up.”