Analyst Explains Ongoing XRP Price Manipulation, Breaks Down Liquidity Tactics

XRP market analyst Zach Rector has released a detailed breakdown explaining what he believes is ongoing price manipulation suppressing XRP’s value.

In a recent YouTube video, he explained that the current price isn’t due to weak fundamentals, but large investors using strategies that control liquidity and limit price movement.

XRP Price Suppression, Not Weak Demand

Notably, Rector says XRP is trading well below its true value because of deliberate price suppression. He believes the recent sideways movement below $2 and sudden drops aren’t caused by retail investors, but by institutions exploiting low liquidity.

According to him, these large players are quietly accumulating XRP while keeping the price from rising before a bigger move. He added that XRP doesn’t need heavy selling to fall. Instead, brief sell-offs during periods of low liquidity are enough to trigger liquidations and reset market leverage.

Furthermore, Rector said charts don’t tell the full story and that on-chain data is more important. He pointed to repeated cases where large amounts of XRP are sent to exchanges within short time periods, often right before major volatility events like options expirations.

He believes these transfers reflect institutional inventory management, not emotional retail selling. According to Rector, coins moved to exchanges are usually used to manage liquidity, recycle supply, or spark volatility — actions he says are typical of large institutions.

Macro Conditions Add Pressure

Moreover, Rector said XRP’s price pressure should be viewed in a larger economic context. He pointed to gold and silver hitting new all-time highs as signs of stress in the global financial system.

He also noted that the U.S. Federal Reserve is still supporting the system with liquidity through overnight repo operations, suggesting the system is not truly stable.

According to him, crypto has taken a temporary back seat while money has flowed into commodities and alternative markets like prediction platforms over the past year.

Why 2026 Is the Key Year

Despite short-term price swings, Rector believes XRP is set up for a big move higher once liquidity conditions improve. He expects the next major liquidity expansion, possibly around 2026, to make crypto one of the top-performing asset classes.

He says XRP’s pattern of sudden drops followed by quick rebounds shows a predatory market structure, not weakness. According to Rector, these conditions are also what allow XRP to surge sharply when liquidity returns.

Watching the Flows, Not the Fear

Rector concluded by advising traders to watch liquidity flows rather than short-term price moves. He believes XRP’s repeated sell-offs are part of a long-term accumulation phase.

Once that phase is over, he expects XRP to break out of suppression and reach new all-time highs. For now, he sees volatility as part of the setup, not a sign of failure, and says understanding how market makers operate is key to following XRP’s price action.

XRP1.08%
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