Ripple’s XRP has recently experienced a sharp pullback after hitting a monthly high of $3.18 on September 13. Following this surge, the price has retraced to around $3.02, marking a decline of about 2% in the last 24 hours.
Analysis from crypto expert Ali Martinez indicates that large investors, often referred to as “whales,” have sold approximately 160 million XRP tokens in the past two weeks, a move estimated to be worth around $500 million. This significant selling spree has coincided with a 15% drop in daily trading volume, according to CoinMarketCap, further contributing to the downward price pressure.
Additionally, data from CryptoQuant shows that XRP exchange reserves have increased by 20% since the beginning of September, suggesting that more tokens are being moved onto exchanges. This uptick could imply that investors are preparing to cash out, as many seem to be taking profits.
Despite the current volatility, analysts believe the long-term outlook for XRP remains encouraging. The daily price chart indicates a phase of consolidation near the middle of the Bollinger Bands at approximately $3.02. If XRP can break above the upper band around $3.20, it might reestablish bullish momentum. Conversely, shooting below the lower band at $2.70 could lead to further declines.
XRP’s price chart is also approaching a breakout from a two-month-long symmetrical triangle pattern. A decisive close above $3.25 may open the pathway toward potential resistance at $3.60. The Relative Strength Index (RSI) is painting a picture of neutral market conditions; a rise above 60 could strengthen the bullish argument for XRP.
In addition to technical indicators, there are whispers of growing institutional interest. Currently, there are 15 XRP ETF proposals under review, with experts estimating an 87% chance of approval by the end of 2025. If these proposals gain the necessary approval, crypto strategists suggest that XRP’s price could surge to $5 by late 2025.
While short-term uncertainty clouds the market, the broader sentiment appears optimistic, with market watchers anticipating a potential altcoin rally following an upcoming Federal Reserve interest rate decision. As traders navigate this fluctuating environment, XRP remains a focal point for many market participants eyeing potential gains in the ever-evolving cryptocurrency landscape.
