XRP Price Analysis: Whale Accumulation and the Path to $3

XRP has traded within a narrow range for the past week, hovering above the key $2.00 support level. Recent market recovery and compelling on-chain data suggest a potential breakout towards $3.00 is on the horizon.

Whale Activity Fuels XRP Price Prediction

Since April 14th, XRP has consolidated between $2.03 and $2.13, with the RSI remaining around 49, indicating market indecision. However, a closer look at on-chain metrics reveals a different story. Large investors, or whales, have been accumulating XRP during recent dips, particularly after the price correction to $1.61.

Related: Coinbase Derivatives lists XRP futures

Santiment data shows a significant increase in XRP whale addresses holding between 10 million and 100 million XRP since April 1st. Similarly, addresses holding over 1 billion XRP have also grown, now accounting for 39.37% of the total XRP supply – up from 37.67% at the end of March. This increased whale accumulation suggests confidence in XRP’s future price despite broader market uncertainty.

Further supporting the bullish narrative is the significant decrease in XRP exchange reserves. The balance on exchanges has dropped considerably from its November 2024 peak, indicating less selling pressure. This decline continues despite recent market volatility.

Technical Analysis: Bullish Flag Pattern and Price Targets

The price action between April 7th and 22nd has formed a bullish flag pattern on the daily chart. The current retest of the upper trendline at $2.10 suggests a potential breakout is imminent. Repeated buying pressure around this level further strengthens this possibility.

A decisive close above this trendline could propel XRP towards the flag’s target of $2.93 or even the psychologically significant $3.00 level, especially with strong volume support.

Several analysts share this bullish outlook, pointing to the current consolidation as a setup for a significant upward move. Dark Defender, for example, highlights XRP’s retest of a key multi-month resistance line, suggesting a break could lead to a price surge towards $4.00.

Key levels to watch include $2.22 and $2.75 on the upside, and $1.80 and $1.61 on the downside. While other analysts, like CasiTrades, suggest a potential sweep of support before a breakout, the overall sentiment remains bullish.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. All investments involve risk.