XRP Whale Accumulation Hits 5-Year High of 45.61 Billion Tokens

XRP has gained significant attention in the crypto market, with whale and shark wallets holding over 45.61 billion tokens, marking a five-year high. Accumulation by high net-worth investors indicates renewed confidence in XRP's potential upside.

According to Santiment, these investors acquired 3.44 billion tokens in the past two years, an increase of 8%. Recently, XRP's price surged over 90%, fueled by positive sentiment within the community.

Rising Prices, Growing Conversations

The rally of XRP has spurred online discussions, accounting for nearly 5% of crypto conversations, reflecting its growing importance. Currently priced around $0.71, XRP faces strong resistance ahead. Analysts note that sustaining this momentum is crucial for future price increases, influenced by factors such as funding rates and FOMO.

Concerns remain regarding the sustainability of the trend. Overextended long positions on exchanges like Binance could slow growth, highlighting the balance needed between optimism and market health.

Technical Breakout Leads To Higher Targets

XRP's recent price movements suggest a positive trend. Crypto researcher Jonathan Carter noted a breakout from a triangle pattern established since 2021, often signaling significant price changes. This could indicate mid-term resistance near $1.68.

Historical patterns also support optimism, with analysts comparing current performance to XRP's rise in 2017. Projections suggest a potential high of $4.80 by late 2024, contingent on ongoing growth and market conditions.

Market Activity Supports Momentum

XRP market activity has increased, with a 120% rise in trading volume over the last 24 hours, reaching $17.50 billion. Additionally, a 12% increase in open interest for XRP derivatives indicates traders are betting on further gains.

Despite these developments, caution is advised. Data from CryptoQuant shows that while miner sell-offs are currently limited, they may increase if the rally exceeds sustainable limits.

Investors remain hopeful about XRP's future, bolstered by whale accumulation, technical breakouts, and community engagement. The continuation of this trend will largely depend on market dynamics and investor sentiment.

Featured image from Earth.com, chart from TradingView