Ripple (XRP) witnessed a resurgence in its price last weekend, climbing above the $0.5 support level following the Bitcoin halving event. This upward movement reflects growing investor confidence after a period of uncertainty caused by geopolitical tensions. However, the XRP price struggled to maintain its momentum.
According to the Santiment Report, the XRP market has been stagnant since then, with the token unable to surpass the $0.5622 resistance level. On the downside, a support level has been established at $0.54, leading to sideways trading.
The popular altcoin has experienced a significant drop in price, falling from a monthly high of $0.6422 and a March peak of $0.7484 to $0.4294. However, this price drop has been seen as an opportunity by whales, who are known for their large purchases. Blockchain data from Santiment reveals that these whales have been accumulating millions of XRP, indicating a long-term bullish outlook for the project.
Renowned cryptocurrency analyst Ali Charts has highlighted the activities of whales, who purchased at least 31 million XRP last week. This has led to an 11.27% increase in supply distribution across 249 addresses. The report also reveals that whales have bought up to 600 million XRP in the past two weeks. Despite the ongoing legal battle between Ripple and the Securities and Exchange Commission (SEC), this active accumulation by major whale addresses demonstrates investor confidence in XRP.
The market value to realized value (MVRV) ratio, calculated for both the 30 and 180-day periods, confirms that XRP is currently in a buying zone. This attracts investors following the 2024 bull market. However, data from the four-hour chart based on the Moving Average Convergence Divergence (MACD) suggests a bearish trend. If whales continue to support XRP in the coming weeks, the token could gather enough momentum to close the gap to $1. Moreover, the bullish price movement is likely to generate FOMO (fear of missing out), potentially accelerating the breakout speed.
It is important to note that the information provided in this article does not constitute investment advice. Investors should be aware of the high volatility and risk associated with cryptocurrencies and should conduct their own research.
