- Whale activity and rising active addresses indicated growing market engagement despite a price decline.
- Falling foreign exchange reserves and strong long liquidations pointed to easing selling pressure.
A huge 30 million Ripple [XRP] The transfer, worth $17.4 million, was recently withdrawn from Upbit, sparking bullish wave speculation.
As trading volume rises, traders are keeping an eye on this whale move, eager to see if the momentum holds.
It remains to be seen whether XRP can withstand enough pressure to break the key resistance levels and trigger a potential breakout.
Is XRP Ready for a Market Breakout?
The price of XRP was trading at $0.5861, down 1.63% at the time of writing. Despite this slight dip, growing whale activity and increased trading volume have many in the market hopeful of a recovery.
In the last 24 hours, active addresses increased by 1.21%, reaching a total of 10,347 at the time of writing. This suggests that more participants are engaging with the XRP ledger, which often correlates with rising demand.
Source: CryptoQuant
Furthermore, the number of transactions on the CryptoQuant.
This increase in trades further indicates growing network activity, usually a bullish sign for price action.
Stock market supply is decreasing: bullish indicator?
Another major factor fueling the bullish fire is the decline in foreign exchange reserves. At the time of writing, the exchange supply of XRP fell by 0.29% over the past 24 hours, to 2.9769 billion XRP.
Lower foreign exchange reserves often indicate reduced selling pressure as more tokens are withdrawn from exchanges and moved into personal wallets.
This trend could mean that investors are anticipating a price increase, leaving less supply available for immediate trading.
Source: CryptoQuant
Liquidation Activity: What Does This Mean for the Future of XRP?
Looking at XRP liquidation data, there has been notable activity on both long and short positions.
As of September 23, liquidations totaled $579,009, the majority of which were short positions ($61,000) on exchanges such as Binance and OKX.
In contrast, long positions reached over $362,000. This indicates that despite short-term fluctuations, there is strong support from long traders, which could help drive the price higher.
Source: Coinglass
Can XRP maintain its bullish momentum?
Although XRP has seen a slight price decline, the increase in whale activity, growing network involvement, and reduction in foreign exchange reserves make a bullish case.
Realistic or not, here is the market cap of XRP in terms of BTC
If these trends continue, XRP could maintain its momentum and potentially move past key resistance levels.
However, traders should remain cautious as continued buying pressure is essential for a breakout. The coming days will reveal whether this whale activity is the spark needed for a lasting rally.
Credit : ambcrypto.com
