Whale Activity Boosts XRP, Potential Break of Resistance in Sight
Context: Recently, a significant increase in the movement of large volumes of XRP by whales has been observed. Ripple transferred 300 million XRP to unidentified wallets, followed by another transaction of 70 million tokens between unknown addresses, totaling an amount of US$ 782 million. These large-scale transactions have captured the market's attention.
Key Events:
* The price of XRP recorded a rise of 2.98% in the last 24 hours, reaching US$ 2.20.
* On-chain data reveals an influx of US$ 122.62 million in XRP to exchanges and an outflow of US$ 116.44 million, resulting in a slight increase in the net flow, indicating cautious optimism among investors.
* The Network Value to Transactions (NVT) ratio of XRP showed a decrease of 57.13%, suggesting that the transaction volume is growing at a faster pace than the market capitalization, signaling an improvement in the network's health.
* Conversely, the daily number of active addresses and transaction count showed a decline, reflecting a weakening in user engagement, which could have implications for price sustainability.
* Long-term holders find themselves in unrealized loss positions, suggesting that the market may be going through a phase of accumulation at the bottom.
* Short position liquidations totaled US$ 1.48 million, significantly surpassing long position liquidations at US$ 364 thousand, generating a "short squeeze" that boosts upward momentum.
* The price of XRP is approaching the upper line of the descending channel at US$ 2.18, with a key resistance level positioned at US$ 2.40; overcoming this barrier could trigger a rally with the potential to reach US$ 3.00.
