XRP price has dropped 6% over the past seven days but has managed to recover 3% in the past 24 hours, indicating a possible stabilization. The RSI has risen to 46.5, taking it out of the oversold zone, while whale activity has remained stable after a short accumulation phase over the Christmas period.
These indicators point to a cautious market sentiment, with XRP price trading between resistance at $2.13 and support at $1.96. Whether it can sustain this recovery or face further declines will depend on breaking key resistance levels or avoiding a potential death cross on the EMA lines.
XRP RSI Recovers From Oversold Zone
The Relative Strength Index (RSI) for XRP is currently at 46.5, recovering from the oversold level of 30 that it touched between December 30 and December 31. This bounce indicates that the selling pressure has eased, and the price is trying to stabilize.
The RSI at 46.5 indicates that the momentum is still slightly bearish but moving towards neutral territory, indicating possible hesitation among traders as XRP price tries to maintain its position above $2.
The Relative Strength Index is a momentum indicator that measures the speed and magnitude of price movements on a scale of 0 to 100. Readings above 70 indicate overbought conditions, often indicating a potential price pullback, while readings below 30 indicate oversold conditions and a potential price recovery.
With the XRP RSI at 46.5, it is in a neutral range, indicating no strong bullish or bearish momentum. In the short term, this could mean that XRP is in a consolidation phase, where it may remain close to current levels unless there is a significant change in buying or selling pressure.
Whales bought over Christmas
The number of XRP whales—addresses holding between 10 million and 100 million XRP—has remained stable in recent days. These addresses saw a brief spike from 296 to 301 between December 24 and December 25, indicating a short-term accumulation phase.
However, the number has slightly decreased and has been hovering around 297 to 299 since December 26, indicating a period of stability in whale activity. This stable behavior suggests that large investors are not accumulating or selling Ripple aggressively at the moment.
Addresses holding between 10 million and 100 million XRP.
Keeping track of whale activity is crucial because these large holders often have a significant impact on market dynamics. Buying them can create upward momentum, while selling them can create downward pressure.
The current stability in the whale population indicates a cautious approach, reflecting a neutral sentiment among mainstream investors. In the short term, this could mean that Ripple’s price could remain rangebound, with minor fluctuations, unless whale activity decisively shifts towards accumulation or distribution.
XRP Price Prediction: Will It Stay Above $2?
Ripple XRP price is currently trading in a tight range, with resistance at $2.13 and support at $1.96, as it works to maintain its position above $2.
If the resistance level at $2.13 is tested and broken, Ripple price could see additional upward momentum, targeting $2.33. If the uptrend gains additional strength, the price could rise to $2.53, indicating a stronger bullish phase.
However, the EMA lines indicate caution, as a death cross may soon form, indicating a bearish shift in momentum.
If this bearish formation holds, XRP price could lose the critical support at $1.96 and test $1.89. Failure to hold this level could push the price further down to $1.63, indicating a significant decline.