XRP Price Recovers 20% as Whales Accumulate 80 Million Tokens
XRP has experienced a significant correction, dropping over 23% since Tuesday amid market volatility. However, it has rebounded with a 20% recovery since yesterday, prompting renewed interest in its long-term potential despite ongoing short-term uncertainty.
Crypto analyst Ali Martinez reported that whales have accumulated 80 million XRP since the correction began on December 17. This increase in whale activity indicates growing confidence among large investors, who are buying XRP at lower prices, often signaling a bullish outlook even during market fluctuations.
XRP Whales Loading Up
XRP is currently trading 22% below its multi-year high of $2.90 but remains above the critical support level of $1.90. Maintaining this level is crucial for preventing a deeper correction and sustaining the bullish structure.
According to data from Santiment, shared by Ali Martinez, the accumulation of 80 million XRP by whales reinforces confidence in XRP's long-term prospects despite recent price declines. Historically, such whale activity has been associated with significant price movements.
If XRP can maintain its position above $2 and break through key resistance levels, it may experience a rapid recovery, potentially retesting multi-year highs. Despite challenges like market uncertainty, strong support and notable whale accumulation suggest a positive outlook for XRP in the near future.
Testing Liquidity Above $2
Currently trading at $2.35, XRP has shown resilience after dipping to $1.95. This rebound emphasizes the importance of the $1.95 low as a pivotal support level for bulls. Sustaining this momentum could lead to further gains.
To solidify the rally, XRP must reclaim the $2.60 mark, a critical resistance point. Breaking above this level would likely attract more buyers and facilitate a move toward its multi-year highs. Conversely, losing the $2 support level could lead to increased selling pressure and a deeper correction.
Overall, XRP's future trajectory depends on its ability to navigate these critical levels. Bulls need to push past $2.60 to validate the rally, while bears will attempt to bring the price below $2 to gain control. The upcoming sessions will be vital in shaping XRP's short-term trend.
Featured image from Dall-E, chart from TradingView