At a three-month high, XRP has outperformed the overall cryptocurrency market surge in the last 24 hours, thanks to fresh whale interest and its comparatively underbought condition on yearly timeframes.
Despite worries about possible sell-offs brought on by the ongoing Mt. Gox reimbursement process, the price of XRP increased by almost 7% to $0.620 on July 17, its highest level since April.
XRP’s Impressive Rally from Recent Lows
Starting around $0.381 on July 5, the XRP/USD pair has surged by about 62.20%. However, the crypto market as a whole has experienced a more modest increase, with total market capitalization growing by approximately 24.50% during the same timeframe.
XRP has experienced a slight decrease of 1.71% year-to-date, which is relatively small compared to the significant 40% gains seen in the broader cryptocurrency market.
Source: TradingView
XRP holders find themselves in a good position to profit on what might be a significant catch-up surge given the possibility for a September interest rate cut. Additionally, a spike in “XRP” searches since June can be seen in Google Trends data, suggesting that retail interest in cryptocurrencies is growing.
This pattern is consistent with prior rallies that occurred in October–November 2023 and February–March 2024, when XRP web searches also spiked.
Not only is this growing curiosity digital; it also shows in the holdings of regular investors, especially those sometimes referred to as “whales”, who own between 100 and 1,000 XRP coins. Their increasing ownership points to a more general interaction with XRP.
Whale Activity and Technical Analysis
The positive feeling surrounding XRP was emphasized by the cryptocurrency analytical firm Santiment, which stated on X that this week might see the start of one of the biggest breakouts in crypto history.
A trader named Crypto Michael has highlighted the presence of a bullish pennant pattern on XRP’s price chart over the past seven years, indicating a potential significant upward movement in the near future.
This pattern is marked by price consolidation within a triangular shape after a substantial increase, which is quite uncommon and suggests a possible significant price movement in the future.
Source: Santiment
Among its wealthiest users, XRP holdings have also little changed. Entities holding between 100 million and 1 billion tokens have increased their XRP supply since the start of the week.
While the supply kept by addresses with above 1 billion tokens stays the same, those with 10 million to 100 million tokens have declining ownership.
Reflecting a rising confidence and investment among bigger market actors, these movements imply that smaller cohort organizations are amassing XRP, maybe to climb into higher cohorts.
Chart technical study shows a break from a declining wedge formation, thereby supporting the positive view of XRP. Usually seen as positive reversal patterns, falling wedges arise from two descending, convergent trendlines.
Usually, the resolution of such patterns comes when the price moves by the maximum distance between the trendlines above the upper trendline. Currently aiming at $0.663, a resistance level last reached in March, XRP is in current breakout phase.
Is Now the Time to Invest?
Although there are several positive indicators, XRP’s daily relative strength index (RSI) reached up to 77.46, marking its highest overbought level since November 2023.
There are signs that the bulls might be getting tired, as indicated by the high RSI reading. This could result in a price retracement to $0.571, a key support level observed between February and April.
But even when considering that, XRP has shown rather amazing performance, well above the general level of cryptocurrencies. This increase caused debate on whether it would be appropriate to jump in.
Many times referred to as “whales,” big investors are collecting XRP along with an increase in interest from regular investors.
Positive comments from analysts are everywhere, and technical study points to a possible breakthrough to even higher levels. One should be cautious, though. With a brief drop possible, XRP’s present surge could be peaking.
The choice to invest ultimately rests on your personal investing objectives and risk tolerance. With this knowledge, you can make an informed decision about whether or not XRP aligns with your investment strategy.
The post XRP Price Prediction July 2024 – XRP Hits Three-Month High: Is Now the Time to Invest? appeared first on Coinfomania.
