Factors That Could Propel $XRP to $4
Whale Accumulation and Bull Flag Formation
Recent data from Santiment reveals that XRP whales, holding between 1 million and 10 million XRP, acquired an additional 100 million tokens between December 7 and 10. During this period, XRP’s price dropped by 27.2%, from $2.61 to $1.90. Despite the downturn, these whales increased their cumulative balance from approximately 4.71 billion to 4.80 billion XRP, deploying an additional $200 million in capital.
Over the past 30 days, these whales have consistently consolidated their holdings, adding about 1.1 billion XRP to their portfolio. This accumulation coincided with XRP’s price rising from around $0.50 to $2.87. When $XRP hit its seven-year high of $2.87 in early December, whales took some profit but quickly bought more during the price dip, pushing XRP to $2.43 after a brief crash.
Bull Flag Formation
Technical indicators suggest a potential bullish trend for XRP. Ali Martinez highlighted that while XRP’s price patterns form a bull flag, the TD Sequential indicator has presented a sell signal on the four-hour chart. This suggests a possible correction before a breakout beyond the $2 range. Martinez believes that after a brief pullback, $XRP could surge towards $4.40, continuing its upward trajectory.