- XRP is likely to target the $0.63 mark in the near term as sentiment remains high while supply dwindles across exchanges.
- Another analyst predicts that XRP will reach $80 by 2025, with his prediction based on a repeat of the previous cycle.
Ripple’s XRP recently enjoyed a brief rally above $0.6, but excessive selling pressure forced the price below its crucial support level. At press time, XRP was trading at $0.56, down 0.6% in the last 24 hours, 4% in the last seven days, and 4.2% in the last 30 days.
Regardless of the current price action, XRP remains bullish with several large liquidation pools found above the current price level. Furthermore, whale activities have been consistently high over the past few weeks.
According to the datathe whale-to-retail delta is currently set at 30.63, indicating renewed and growing interest from large investors. This was also confirmed by data from Santiment last week, estimating that wallets holding between 1 million and 10 million XRP tokens had reached an all-time high of 7.06 billion coins ($4.42 billion). In August alone, this batch of whales accumulated over 662 million XRP.
In July 2024, the pace of XRP whale accumulation peaked with 85% of the total supply. On July 17, wallets holding between 10 and 100 million XRP tokens increased from 260 to 263. Additionally, the asset also reached its highest level in terms of social media discussion since January 30.
On-chain activity supports XRP bullish thesis
Our look at on-chain activity also supports this bullish thesis, as the total supply of XRP on exchanges has decreased significantly. According to the report, large wallet investors have been dumping their holdings while retail investors are accumulating the asset. The decreased supply on exchanges implies that there is less availability of tokens to sell, reducing strong selling pressure.
Explaining this, analysts suggested that the reason could be attributed to investors holding their tokens in hardware wallets, placing them on decentralized finance platforms, or holding them in anticipation of a future price hike.
Currently, XRP’s Relative Strength Index (RSI) is hovering around the 52 area, indicating bullish momentum. Analysts believe that the asset could surge by 20% in the near term to target the $0.63 resistance level.
According to crypto analyst Amelie, XRP is bound to break above the $1 zone, with sideways triangle patterns and Fibonacci resistance levels supporting this prediction. The analyst divided the XRP cycle into two symmetrical sections, each comprising five phases. These phases are the initial rally, a significant pullback, a minor rally, a sideways triangle, and a final push.
Since the pre-2014 era, the initial surge met the 2017 bull cycle, which saw the asset register a significant gain of 30,000% in a matter of months. According to Amélie, XRP has completed each phase of this cycle, except for the breakout of the sideways triangle that would initiate the explosive rise.
The analyst believes that a repeat of the previous bull cycle could propel XRP to $80 by 2025. In our other post, another analyst believes that XRP could reach $263 in the next bull run.
