The currency $XRP is witnessing a significant breakthrough today, recording a 12% increase after nearly a week of stable price movement. This rise comes as investors take advantage of last week's discounted prices, sparking renewed upward momentum across the market.
It seems that this accumulation phase has strengthened the short-term price structure of XRP.
XRP investors are pushing the altcoin higher
Over the past week, XRP's balance on exchanges has significantly decreased, indicating a shift towards accumulation. On-chain data shows that investors have withdrawn around 216 million XRP, worth over $556 million, from trading platforms. This widespread move indicates strong confidence in future price growth, reducing the pressure for immediate selling.
The impact of this accumulation is now visible in XRP's upward trajectory. If this trend continues, the coin could extend its rise further as the low supply in exchanges converges with increasing demand.
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The broader technical outlook supports this recovery scenario. The Relative Strength Index (RSI) is currently rising and has crossed the neutral 50.0 mark, indicating increasing bullish momentum. This suggests that buyers are regaining control, which is a crucial development for XRP to maintain its price above key support levels.
With bullish momentum building, investor optimism is expected to increase. The current RSI positioning indicates that XRP could sustain upward pressure without entering the overbought territory anytime soon.
XRP price is making progress
The price of XRP jumped by 12% over the past 24 hours, trading at $2.55 at the time of writing. The altcoin is establishing $2.52 as strong support after bouncing from the recent consolidation phase.
If the bullish sentiment continues, XRP may attempt another rally towards resistance at $2.64, a level it has failed to surpass twice in the past month. A successful move above $2.64 could push the price towards $2.75, further strengthening the upward trend.
However, failure to surpass $2.64 could weaken momentum, leading to a drop in XRP below $2.52 and a retest of the support area at $2.36. This drop would disrupt the bullish hypothesis, indicating another period of consolidation.
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