XRP could be heading for another price decline as Ripple prepares to unlock 1 billion tokens next week, according to insights generated by ChatGPT.
The November 1 release comes as XRP trades at $1.26 as of press time, putting the cryptocurrency near a key support level. The unlock could add selling pressure if investors reduce their exposure.
Ripple’s monthly escrow schedule makes previously locked tokens available, although the full amount will not necessarily enter the market for sale. The company has historically returned most of its monthly releases to escrow, limiting the net amount left outside.
During the October 1 release, Ripple unlocked 1 billion XRP and subsequently re-escrowed 700 million tokens, leaving 300 million XRP outside escrow. The same pattern occurred in each of the previous 12 monthly release cycles.
Over those 12 months, Ripple released 12 billion XRP and re-escrowed 8.4 billion, leaving a net 3.6 billion XRP outside escrow. However, this does not establish how many tokens were sold, as the remaining XRP may also have been distributed or used for other purposes.
If Ripple repeats this pattern in November, approximately 300 million XRP could remain outside escrow, although the amount to be re-escrowed has not been confirmed.
XRP price prediction
To assess how XRP could react to the unlock, Finbold sought insights from ChatGPT, which outlined three potential price scenarios. Notably, the asset is currently facing bearish sentiment, down about 3.5% in the past 24 hours.
The base-case forecast places XRP between $1.25 and $1.35 as the market absorbs the release, assuming Ripple continues returning a substantial portion of the unlocked supply to escrow and selling pressure remains manageable.
In the bearish scenario, XRP could fall to $1.15 if it breaks below the $1.25 support level. A sustained decline beneath that threshold could signal weakening demand and expose the token to further losses, particularly if broader cryptocurrency market conditions remain weak.
The bullish scenario points to a recovery toward$1.45 to $1.50 if XRP breaks above resistance at $1.38 to $1.40, suggesting buyers are absorbing selling pressure.
At $1.26, XRP is approaching the $1.25 support level, and holding above it could keep the token within the base-case range, while a break below could expose it to further losses.
Ultimately, ChatGPT noted that the November 1 release could weigh on XRP if investors sell ahead of the event or more tokens remain outside escrow than expected. However, the unlock alone does not guarantee a price decline.
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