XRP, the digital asset native to Ripple Labs, is showing signs of a possible significant price surge as large holders and investors with long-term commitments continue to show strong support for the cryptocurrency. The wider crypto market is currently displaying signs of recovery following a sharp downturn on the 11th of December.
Significant XRP Transaction Detected from Binance
Amidst the recent market correction, major holders of XRP, commonly referred to as whales, were observed accumulating XRP tokens, indicating a strategic move of buying during the dip. Noteworthy data from the whale transaction tracking service Whale Alert revealed a transfer of 22.08 million XRP, valued at $46.13 million, from Binance to an undisclosed wallet.
Furthermore, apart from whale activity, other factors contributing to the positive price sentiment include XRP’s bullish technical outlook and growing interest from long-term investors.
Reports indicate that long-term holders have withdrawn a substantial sum of $159.69 million worth of XRP tokens from exchanges despite the recent market turbulence. This suggests a continued interest and belief in the potential of this altcoin despite the market fluctuations.
Technical Analysis Signals Potential Upside for XRP
According to analysis conducted by CryptoCrypto, XRP seems to be in the process of forming a bullish flag and pole pattern in its daily price movement, indicating a potential breakout from the current pattern.
Predicted Price Action for XRP in December
Based on recent market developments and previous trends, if XRP manages to breach and close a daily candle above the $2.5 mark, there is a strong probability that it could surge by 80%, reaching around $4.5 in the near future. The increasing interest surrounding XRP raises the likelihood of it surpassing the current resistance levels.
While there exists a chance of a price pullback to $2 in case of a shift towards bearish sentiment, the optimistic outlook for XRP will remain intact as long as it remains above the $2 mark, failure to do so may lead to a setback.
On a positive note, XRP’s Relative Strength Index (RSI) currently stands at 64, indicating that it has not yet hit the overbought zone, leaving room for potential upward movement in the upcoming days.
At the time of writing, XRP was trading close to $2.44 and had recorded a notable 5.5% increase over the past 24 hours. However, trading volume decreased by 45% during the same period, suggesting a decrease in activity among traders and investors compared to the previous day.