Recently, XRP has experienced volatility in its price, with a slight decline over the past few days. However, the cryptocurrency remains positioned near significant resistance levels. Whales are actively accumulating XRP despite potential market peak signs.
The likelihood of rising to an all-time high (ATH) remains strong, although current market conditions may pose challenges for further gains.
XRP investors remain optimistic
XRP is currently facing a potential market peak, as over 95% of the circulating supply is in profit. Historically, when a large portion of the supply is profitable, market peaks often form, typically indicating a reversal.
However, XRP has proven resilient in the face of market peaks in the past, maintaining its upward momentum without experiencing significant downturns. This unique characteristic of XRP suggests that it may challenge typical market behavior, and bullish investor sentiment could drive its price higher.
The overall momentum of XRP is being bolstered by increased whale activity. In the past four days, addresses holding between 100 million and 1 billion XRP have accumulated over 1.2 billion XRP, worth nearly $3.8 billion.
This increase in whale holdings suggests that large investors are confident in XRP's future potential and are positioning themselves for further gains. The recent price drop may have triggered FOMO (fear of missing out), encouraging these whales to increase their positions in anticipation of price rises ahead.
This optimism could be a key driver in pushing XRP's price higher, as these large holders may provide significant support during times of volatility.
The price of Ripple sends mixed signals
XRP is currently trading at $3.13, having faced a slight decline over the past four days. The alternative currency remains 16.8% below its ATH of $3.66, which investors are targeting. Ongoing bullish sentiment, combined with whale accumulation, keeps the price within a potential breakout range.
If the whales' efforts succeed, the price of XRP could rise to $3.41. If the $3.41 level is converted to support, XRP could continue its ascent towards its all-time high of $3.66. This scenario would indicate ongoing bullish momentum, with strong support from both large holders and individual investors. The support level at $3.41 will play a crucial role in sustaining XRP's price growth.
However, if XRP faces bearish signals from the broader market or selling pressure from individual investors, the price could drop to $2.95 or even lower. This would invalidate the bullish thesis and raise concerns about the sustainability of the upward trend.
