XRP has reclaimed its position above the critical $2 support level, propelled by notable whale activity. Within just 30 minutes, approximately $202.5 million worth of XRP, equating to 90 million tokens, was transferred to unknown wallets, sparking intense speculation about the cryptocurrency’s trajectory.
Whale Activity Fuels Optimism
The massive transfers, highlighted by Whale Alert, involved two significant transactions. The first moved 50 million XRP, valued at $112.5 million, to a newly created wallet. The second saw 40 million XRP, worth $90 million, sent to a recently activated address. Notably, these wallets are unlinked to known exchanges, suggesting that high-net-worth individuals or institutions might be accumulating the token for long-term holdings.
Crypto analysts often interpret such large movements to unknown wallets as bullish signals, indicating a preference for cold storage over active trading. This trend reflects confidence in XRP’s future potential and aligns with growing investor interest, including reports of high-profile figures, such as former President Donald Trump, accumulating XRP and HBAR tokens.
Technical Analysis and Market Outlook
At the time of writing, XRP is trading at $2.25, marking a slight 0.35% gain over the past 24 hours. Technical indicators paint a mixed picture for the token.
- Resistance Levels: XRP faces significant resistance between $3.62 and $4.30. Breaking above this range could propel the price toward $5.73.
- Support Levels: The key support level to watch is $2.20. A dip below this threshold might trigger panic selling, pushing prices lower.
- RSI and Awesome Oscillator: The RSI currently sits at 46, reflecting moderate selling pressure. Meanwhile, the Awesome Oscillator shows a potential bullish divergence, with histogram bars turning positive but still in negative territory, hinting at a possible reversal.
Institutional Interest and Long-Term Potential
Despite short-term uncertainties, institutional interest in XRP remains robust. Whale activity and increased holdings by long-term investors signal confidence in the token’s future, even as the broader market remains flat.
As Ripple navigates legal proceedings, including new filing deadlines for its appeals case, the token’s ability to maintain critical support levels will determine its next move. A sustained bullish momentum could position XRP for a breakout, reaffirming its appeal as a long-term investment.
Also Read: XRP Ledger (XRPL) Powers Tokenized Money Market Fund, Boosting Institutional Adoption
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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