Ripple’s native token, XRP, has achieved a significant milestone by surpassing the $2 level for the second time since January 2018. Due to the impressive performance, the bulls are likely to continue this rally until it reaches the $3 level.
Will the XRP price rise continue?
Following XRP’s recent performance, participation from whales and investors has surged, raising one common question: Will this rally continue or is there a possibility of a price correction in the future?
$256 million in XRP inflows, selling inflows?
On-chain analytics firm Coinglass recently reported that whales and institutions are continuing to dump millions of dollars worth of XRP on exchanges amid the ongoing bull rally. According to XRP spot inflow/outflow data from Coinglass, the exchange has seen significant inflows of $256.3 million over the past three days.
These significant inflows suggest that whales and institutions have transferred their holdings to exchanges. In the cryptocurrency environment, these inflows usually indicate a potential sell-off and an imminent price decline.
Traders’ Longside Strongest
In addition to whale participation, traders appear to be more bullish, betting heavily on long positions, as seen by Coinglass. As of press time, the 4-hour XRP long/short ratio is 1.98, indicating strong optimism among traders.
Currently, 66.5% of the top traders across the exchange hold buy positions, and 33.5% hold sell positions. This data indicates that bulls dominate altcoins in the near term and could support XRP’s continued rise towards $3.
XRP Technical Analysis and Future Levels
Analysis of these on-chain indicators shows that the bulls are currently in control and could potentially support the price of XRP and its continued upward trend. However, whale and institutional activity, with $256.3 million worth of XRP offloaded, indicates the possibility of a price correction in the future.
XRP price prediction
According to CoinPedia’s technical analysis, XRP has broken the highly anticipated resistance level of $2. After this breakout, it is likely that it will surge to $3.15 in the coming days. However, the price may experience a slight correction or retest of the breakout before the rally continues towards the $3 level.
XRP is currently trading near $2.17 and has recorded a price increase of over 15% in the last 24 hours. During the same period, trading volume decreased by 14%, showing that the participation of traders and investors was lower than the previous day.