Top Trader Says XRP Has Been One of the Most Obvious and Easiest Shorts of His Life
Widely followed trader Crashius Clay took to social media this week to reiterate his critical view of XRP as an investment.Clay called XRP's price improvement earlier this year unsustainable, likening the asset to a disguised meme coin.Given his strong bearish outlook, he has publicly shared details of several profitable short positions in XRP that he opened over the past few weeks. Among the most notable was his disclosure of a $1 million bet against XRPs bullish trenda move highlighted by The Crypto Basic a month ago.Interestingly, XRPs price has not returned to his entry point since then, and the trade continues to be profitable. Clay even challenged XRP bulls to try to liquidate him as he continues to promote his bearish stance on the coin.https://twitter.com/CrashiusClay69/status/1905024824063275121In his most recent commentary, Clay remarked that XRP has been "one of the most obvious and easiest shorts" of his life, citing the significant profits he has continued to accrue.At the same time, Clay has continued to warn of what he sees as immense downside risk amid drying market liquidity and increasing sell pressure."Nobody Left to Buy" XRPClay argued that previous market cycles have already financially stretched the typical XRP investor. He added that whales or wealthy investors, who might typically provide liquidity, are unlikely to take on risk in a token like XRP at its current valuation.He also pointed to the threat of selling pressure from earlier investors. With the token having risen 6x in recent months, he believes many may be preparing to offload into what he sees as weakening demand. He questioned who they would even sell to in "such a dry market."Additionally, Clay argued that XRP still trading around $2 with a $122 billion market cap is "truly miraculous," considering what he describes as low on-chain activity, minimal revenue, and weak fundamentals.He claims that XRP has little to no activity or revenue on-chain and operates much like a meme coin. He even went so far as to call XRP the biggest meme coin in the market."Bullish on Meme Coins, Just Not This One"Interestingly, while Clay is bearish on XRP, he remains optimistic about the broader meme coin sector, at least for projects that have already seen significant corrections.Specifically, he noted hes bullish on meme coins that are already down 90% or more, as theyve "already had their correction." He contrasted this with XRP, which he believes still hasnt paid its dues in terms of downside versus Bitcoin.For context, with XRP trading at $2, it has plummeted 40% from its recent multi-year peak of $3.34. Meanwhile, Clay believes XRP remains overvalued and could see more massive corrections soon. Indeed, many others share his perspective, with some calling for lows at under $1.Ultimately, while XRP maintains a fiercely loyal following and notable institutional partnerships, critics like Clay argue that the fundamentals dont justify its current priceand that a major correction may be overdue. Despite this, bullish sentiment remains, with even critics like Davinci Jeremie calling for a $24 price.
Text source: The Crypto Basic
