Recent market activity has seen a notable increase in the accumulation of XRP by crypto whales during a price dip.
Over 100 million XRP tokens were purchased during a recent fluctuation, with the token’s value falling below the $2 mark. This development has captured attention as it suggests rising confidence among large investors, despite broader market volatility.
Whale Activity Points to Rising Confidence
Ali Martinez, an on-chain analyst, revealed that over 100 million XRP tokens were purchased by whales as prices dipped below $2. This level of buying activity during a downturn suggests that these investors see long-term value in XRP and are positioning for potential future gains.
Source: X
Such whale behavior is often viewed as a signal of growing confidence in an asset. Investors frequently track whale activity to assess sentiment, and the recent purchases could encourage smaller investors to consider XRP.
The buying activity also reflects broader interest in capitalizing on reduced asset prices during volatile market conditions, with Bitcoin and Ethereum experiencing similar dips.
XRP’s Price Performance and Market Metrics
XRP was trading at $2.37 at press time, with a 24-hour trading volume of $26.8 billion. The token’s price has increased by 8.74% in the past 24 hours but remains 7.55% lower compared to the previous week.
XRP’s market capitalization stands at $135.5 billion, with a circulating supply of 57 billion tokens.
Last month, XRP experienced a strong rally with a 281% price surge, followed by a consolidation phase this month. This consolidation has seen the token trade within a narrow range, while analysts observe critical support levels at $2.13 and $2.27.
Analysts Identify Potential for Further Growth
Crypto analyst Dark Defender has identified a bullish pattern in XRP’s price chart. The pattern resembles a previous formation observed when XRP rose from $0.70 to $1.88.
Based on this analysis, a potential price target of $11 has been projected for XRP, with expectations of reaching this level between January and March 2025.
Source: X
Short-term price targets of $3.90 and $5.50 have also been outlined, as the token navigates its current consolidation phase. The analyst has emphasized the importance of XRP holding above its identified support levels for the bullish trend to remain intact.
Ripple’s Developments May Influence Market Sentiment
Ripple’s regulatory approval to launch its RLUSD stablecoin could also contribute to XRP’s recent price movements. Market participants speculate that this development may attract additional interest in the token.
Meanwhile, public discussions surrounding XRP’s price trajectory continue. A recent comment from Atomic Wallet, which suggested deleting its X account if XRP surpasses $3, has drawn attention as the token edges closer to this target. Investors are closely monitoring XRP as they await the next phase in its price trend.
FAQs:
Why are whales buying XRP during the price dip?
Whales are purchasing XRP below $2, viewing it as an opportunity to accumulate at lower prices amid signs of potential long-term growth.
What price targets have analysts predicted for XRP?
Analysts project short-term targets of $3.90 and $5.50, with a long-term target of $11 by early 2025.
How is Ripple’s stablecoin launch impacting XRP’s price?
Ripple’s approval to launch the RLUSD stablecoin is speculated to boost market sentiment and attract investor interest in XRP.
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