Source: Cointelegraph
Original: “XRP Price Holds Above Key Trendline—Can Whale Accumulation Push It Past $3?”
XRP has been trading within a narrow range for the past eight days. Following a broad market recovery over the weekend, the altcoin's trading price is slightly above its support level of $2.00.
On-chain data and technical indicators show that the XRP/USD trading pair has sufficient conditions to break through the $3 mark.
XRP/USD Daily Chart Source: Cointelegraph/TradingView
Whale Accumulation of XRP Reemerges
Since April 14, XRP's price has been consolidating between $2.03 and $2.13. During the same period, the daily Relative Strength Index (RSI) has remained flat around 49, indicating market indecision.
Despite the price's sideways movement, whale activity paints a hopeful picture, with on-chain data showing that large investors are capitalizing on the price drop to $1.61.
According to Santiment, the number of whale addresses holding between 10 million and 100 million XRP (indicated by the black line) has surged since April 1.
Similarly, addresses holding over 1 billion XRP (indicated by the red line) have also been steadily increasing. Currently, this group of whales accounts for 39.4% of the total XRP supply, up from 37.7% at the end of March.
This may highlight these large investors' confidence in XRP's price increase, despite growing macroeconomic risks and uncertainties.
XRP Supply Distribution Source: Santiment
Additionally, XRP's exchange reserves have seen a significant decline. In November 2024, the balance of XRP on exchanges peaked at 3.27 billion XRP. Currently, about 2.7 million XRP are held on exchanges. Despite market turbulence since early April, this metric has also decreased by 10% over the past 30 days.
XRP Balance on Exchanges. Source: CryptoQuant
Can XRP's Price Reach $3?
The price movement of XRP between April 7 and April 22 formed a bullish flag pattern on the daily chart. The price is retesting the flag's upper trendline at $2.10, indicating a potential breakout.
Notably, in the past 10 days, the price has attempted to break this trendline two to three times but has failed each time, with each retest leading to new buyers gathering in this area.
If the closing price is above this trendline, XRP may rebound from current levels. If the volume is strong, it could break through the psychological levels of $2.93 or $3.00, reaching the technical target of the flag.
XRP/USD Daily Chart Source: Cointelegraph/TradingView
Several analysts also agree with this optimistic outlook, believing that XRP's consolidation is a precursor to a significant rise.
Trader Dark Defender cited a chart showing XRP's price consolidating above $2 on a weekly timeframe, stating that this altcoin is retesting a key multi-month resistance line.
If this resistance is broken, the price will break out, and the fifth wave will run towards $4.
“XRP is bullish, and cryptocurrencies are more bullish than ever.”
XRP/USD Daily Chart Source: Dark Defender
This analyst noted that the key levels for upward movement are $2.22 and $2.75, while the key levels for downward movement are $1.80 and $1.61.
Meanwhile, trader CasiTrades indicated that a rejection at $2.24 means the price could break below the major support levels of $1.90 or $1.55 before “XRP is ready to break out.”
As previously reported by Cointelegraph, the Wyckoff re-accumulation and descending wedge pattern paints a bullish target for XRP above $3.50.
This article does not contain investment advice or recommendations. Every investment and trading involves risks, and readers should conduct their own research before making decisions.
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