XRP Signals Buy: Derivatives Data Reveals Why

What to Know:

• A high-profile influencer recently made a series of bullish statements about XRP, focusing on its potential as a settlement layer.
• The influencer’s thesis centers on XRP Ledger’s utility, throughput, and role as a liquidity rail, rather than speculative price movements.
• This endorsement could bring attention to XRP’s underlying technology and network role, potentially influencing institutional perception.

XRP has found an unexpected advocate in YoungHoon Kim, a public figure who claims to have a very high IQ. Kim recently shared a series of bullish takes on XRP, framing them in a way that could resonate with institutional investors. His endorsement arrives as the digital asset landscape continues to evolve, particularly concerning regulatory clarity and the search for genuine utility within blockchain networks.

XRP as a Settlement Layer

Kim’s core argument is that capital will flow directly into the XRP Ledger itself, positioning the network as a primary settlement layer rather than viewing the XRP token as a mere speculative asset. This perspective aligns with the growing institutional interest in blockchain technology’s potential to streamline cross-border payments and improve settlement efficiency. For institutions, the value proposition lies in XRP’s ability to facilitate faster and cheaper transactions, reducing counterparty risk and improving capital efficiency.

Price Anchors and Supply Psychology

Kim has publicly stated that XRP below $2 is “nearly free,” emphasizing this is his personal opinion. While this might seem like a simple price target, it also serves as a psychological anchor for investors. By framing XRP as undervalued, he encourages a long-term holding strategy, which can reduce selling pressure and potentially support price appreciation. This tactic is common in traditional markets, where analysts often use price targets to guide investor sentiment and manage expectations around a stock’s potential.

The “No-Sell” Mindset

Kim advocates for a “no-sell” mindset, which is essentially a supply-side argument. This strategy aims to normalize holding through periods of volatility, suggesting that time itself is an advantage. This approach can be particularly appealing to long-term investors who are less concerned with short-term price fluctuations and more focused on the underlying value of the asset. In the context of institutional investing, a “no-sell” approach can signal confidence in the long-term viability of the asset and its potential to generate returns over time.

Attention Economics and Infrastructure Thesis

The reasons behind Kim’s endorsement are worth considering. One pragmatic explanation is attention economics: XRP has a strong presence in the crypto narrative and boasts a well-organized community, making it an effective platform for gaining attention. Another possibility is that Kim genuinely believes in XRP’s infrastructure potential and anticipates the market will eventually recognize its value more aggressively. This aligns with the broader trend of investors seeking out crypto assets with real-world utility and the potential to disrupt traditional financial systems.

Implications for Institutional Adoption

While the endorsement of a single individual may not directly trigger massive institutional inflows, it can contribute to a broader shift in perception. Institutional investors often rely on a combination of fundamental analysis, technical indicators, and market sentiment when making investment decisions. Positive endorsements from influential figures can help to build a more favorable narrative around XRP, potentially attracting more institutional interest and investment over time. Furthermore, increased attention could spur further development and adoption of the XRP Ledger, solidifying its position as a key player in the digital asset space.

In conclusion, YoungHoon Kim’s endorsement of XRP highlights the growing interest in its potential as a settlement layer and liquidity rail. While the impact of such endorsements can be difficult to quantify, they can contribute to a more positive market sentiment and potentially attract institutional attention. As the digital asset landscape continues to mature, the focus on real-world utility and adoption will likely play an increasingly important role in driving long-term value.

Related: Crypto ETFs Target Index Dominance in 2026

Source: Original article