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- 1 XRP was able to bounce back strongly after falling near a multi-month low value indicating a potential increase in demand.
- 2 Large wallets (whales) have Accumulated Nearly 70 Million XRP tokens in the last couple of sessions.
The XRP crypto has shown remarkable resilience by holding above a crucial support level for the past 11 months. Furthermore, the recent increase in whale accumulation over the last couple of sessions indicates that large holders are looking to defend the support.
The aforemntioned bodes well for the future of XRP and suggests that we may see increased interest and investment ahead. It’s possible that this could unlock the door to a potential turnaround and bring an end to the downward trend that XRP has been experiencing.
XRP Whales Transaction At Its Peak In The Past 3 Months?
In the previous week, the value of XRP had been decreasing and it reached an 11-month low, losing 22% in just one week. This sudden decline caused worry about the psychological support of the $0.5 level and the 11-month low.
However, it seems that big investors, also known as “whales,” were aware of this issue and have started taking action to prevent it.
In the last couple of sessions, addresses holding between 1 million and 10 million XRP have added over 70 million XRP to their wallets. This purchase, worth more than $35 million, is the largest buying noted in the past three months.
Whales aim to accumulate profits, hence they are accumulating the crypto. Furthermore, The possibility of the XRP price dropping below USD 0.50 is low, and higher chances are bouncing back. The whales could capitalize on this by purchasing XRP at a low price and potentially reaping profits later.
Currently, the XRP token is among the few altcoins whose supply in profit is below 75 percent. This is just the second time in almost a year that profitable supply has fallen so sharply.
Typically, a market peak is reached when more than 95 percent of the circulating supply records profits. Therefore, XRP still has room for growth, which could serve as a strong motivation for investors to add the token to their wallets.
XRP Price Analysis: Is Now A Good Time To Buy?
A closer look at the price action reveals that the losing momentum is occurring near the support levels, which further increases the possibility of a bullish trend emerging.
In fact, if the XRP price bounces, it could result in the formation of a double bottom pattern near the support, signaling a potential reversal in trend. If this pattern does indeed emerge, it could trigger a strong bullish wave in the cryptocurrency.
Overall, the recent price action in XRP indicates that a potential shift in trend may be on the horizon, with a bullish trend becoming increasingly likely.
Conclusion
XRP crypto has held above a crucial support level for the past 11 months. Large holders were looking to defend the support, as indicated by the recent increase in whale accumulation.
Earlier, The value of XRP had been decreasing and it reached an 11-month low, losing 22%, causing worry about the psychological support of the $0.5 level and the 11-month low.
However, addresses holding between 1 million and 10 million XRP have added over 70 million XRP to their wallets, indicating a potential shift in trend may be on the horizon, with a bullish trend becoming increasingly likely.
Technical levels:
- Support levels: $0.50 and $0.45
- Resistance levels: $0.72 and $0.80
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
