The token has risen by 4% in the past 24 hours and 6% in the past week. Trading activity has rebounded sharply, with XRP's 24-hour spot trading volume reaching $10.83 billion, an increase of 193.5% compared to the previous trading day.
According to Coinglass data, derivatives market trading volume surged by 237.27% to $19.4 billion, and open interest climbed by 13.55% to $5.23 billion. These figures indicate that more and more traders are entering the market and making larger bets on XRP's next moves.
XRP once surpassed Tether (USDT) to become the third largest cryptocurrency by market capitalization. Santiment reports that a series of positive events have jointly driven the recent price surge of XRP.
These include an 11% increase in the number of XRP holders since the beginning of this year, a rising adoption rate through payment platforms like Travala, and the introduction of House Bill 594 in Missouri. This bill would allow citizens to deduct all capital gains taxes on assets such as XRP and Bitcoin.
From a technical perspective, XRP shows strong upward momentum. Its trading price is above all key moving averages, including the 10-day and 200-day moving averages, both of which suggest buy signals. The MACD indicator is in positive territory, and the relative strength index is at 62, indicating that the token still has room to rise before becoming overbought.
If XRP can hold the support level at $2.45, it is expected to test $2.80 and even retest the psychological level of $3. However, if it falls below $2.20, it may face a short-term correction.
Cryptocurrency analyst Dark Defender believes that based on their post about X on May 10, the recent trend of XRP may be the beginning of a larger wave. According to Elliott Wave Theory, they state that XRP may have completed its 4th wave correction at $2.07 and is now entering the 5th wave, which is usually the strongest part of the cycle.
They added that confirmation is still needed, but if this pattern holds, the target price for XRP in the coming weeks may range between $5.85 and $6.39.