XRP Is Trading Near a 52-Week Low of $1. Here's What to Do if XRP Drops Below a Buck.

For XRP (CRYPTO: XRP) investors, it's time for a reality check. The past 12 months have been absolutely dreadful. XRP has fallen off a cliff, down more than 72% from its summer 2025 highs. Currently, it trades for just $1, near a 52-week low.

The situation for XRP is unlikely to improve anytime soon, especially with a major new crypto bill (the Clarity Act) stalled in Congress. So what happens next? Will XRP drop below the psychologically important $1 price level, or will it recover with a strong year-end rally?

Predicting the future price of XRP

One place to look for answers is online prediction markets, where traders constantly offer their predictions on where XRP is headed next. Right now, the outlook doesn't look good.

Take Polymarket, for example. There, prediction market traders are giving XRP a 47% chance of dropping to $0.80, a 20% chance of dropping to $0.60, and an 8% chance of dropping to $0.40.

Image source: Getty Images.

In other words, there's nearly a 50% chance of XRP cratering in price if it breaches $1. XRP won't drop all the way to zero, of course, but there is likely to be more carnage along the way. For that reason, if XRP drops below $1, the best strategy is likely to let it drop even further before attempting to scoop it up at bargain-basement prices.

What is XRP, really?

A lot depends on investor perceptions. In crypto, these can be incredibly fickle. For much of its history, XRP has traded much like a typical altcoin. That made sense, since XRP is a token used by banks and financial institutions, and nobody can deny it has made a splash in blockchain-powered, cross-border payments.

At some point, XRP began to trade more like a meme coin. That meant it was capable of meteoric gains. Investors had a glimpse of that in late 2024 and early 2025, when XRP exploded in value by 580%, rocketing from $0.50 to $3.40. All of that, of course, was built on the hype and buzz surrounding a new pro-crypto U.S. presidency. When that hype faded, so did XRP's price.

The problem with meme coins is that they rarely sustain momentum for long. Often, they collapse in value overnight. Unfortunately, that is what appears to be happening to XRP right now. Once you've seen a 12-month chart for XRP, you won't be able to unsee it.

There's still a chance that XRP can begin to trade much more like a traditional altcoin in 2027, especially if Ripple (the fintech company behind the XRP token) continues to build out the blockchain infrastructure for payments and liquidity.

For now, though, it's impossible to recommend XRP as a buy even at current discounted prices. XRP has a 50/50 chance of falling much lower this year, and it's still far too early to be talking about "buying the dip" on such a mercurial cryptocurrency.

Dominic Basulto has positions in XRP. The Motley Fool has positions in and recommends XRP. The Motley Fool has a disclosure policy.