The Ripple (XRP) market has come under pressure after whales sold more than 160 million tokens in just two weeks. Such massive sales often trigger volatility and short-term corrections, yet the long-term bullish structure remains intact.
Why is XRP cooling off?
🔹 Stoch RSI climbed as high as 88.89, signaling overbought conditions and the likelihood of a pullback
🔹 Whale sales often act as catalysts for corrections when retail demand fails to absorb the sudden supply
🔹 On the chart, XRP still shows a clear cup-and-handle formation, a classic bullish pattern
Will a retest come next?
Although XRP broke out of the handle of its descending channel, profit-taking suggests it may retest the $3.00 area. If buyers defend this level, room for further upside opens up.
Fibonacci levels outline ambitious targets:
🔹 $3.80 as the first milestone
🔹 $4.49 as the next potential target
Failure to hold support, however, could slow momentum and extend the consolidation phase.
Derivatives Market Signals Caution
Futures trading volumes cooled after the breakout, indicating traders are stepping back into wait-and-see mode.
🔹 Cooling volumes suggest consolidation rather than reversal
🔹 The weighted funding rate (OI) at 0.0079% reflects a balanced stance among leveraged traders – no significant bias toward longs or shorts
This shows the market is waiting for confirmation before committing to larger moves.
Reset, Not Reversal?
While whale selling has triggered short-term stress and correction, XRP’s technical structure remains bullish at its core. If a successful retest occurs, the path toward the Fibonacci targets of $3.80 and $4.49 remains viable.
XRP now stands at a crossroads: the short-term correction may simply clear the path, while the long-term outlook for growth is still very much alive.
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