- XRP fell again after a slight bounce in the last trading session.
- Whales remained in accumulation mode despite falling prices.
Ripple’s (XRP) recent price drop has caught the attention of large investors as on-chain data revealed significant whale accumulation.
These developments, combined with a neutral MVRV rate and stabilization of key support levels, point to a potential bullish reversal for the token.
Ripple whale accumulation in earnest
The whale holdings distribution chart shows a steady increase in Ripple balances among large holders. An analysis of wallets holding between 1 and 100 million XRP showed an increase in accumulation.
This accumulation phase intensified as the price of XRP faced downward pressure, reflecting the classic “buy the dip” strategy among major investors.
Historically, whale accumulation during market downturns has often been a signal that a price recovery is coming. Large holders tend to position themselves strategically, anticipating a significant bullish reversal.
Current trends highlight growing confidence in XRP’s medium- to long-term recovery.
Key support levels provide stability.
Ripple’s price found strong support at $2.32, driven by its 50-day moving average of $1.59, as shown in the XRP price chart.
Despite struggling to break above the $2.46 Fibonacci retracement level, the token’s ability to maintain its position above key moving averages reflects the underlying bullish sentiment.
Volumes remain strong, indicating continued market interest. The combination of whale accumulation and reduced sell-side pressure improves XRP’s ability to navigate current resistance levels, paving the way for a potential rebound.
The MVRV ratio indicates that selling pressure is waning.
According to Santiment, the 30-day MVRV ratio chart shows a significant decline to around 5.91%. These indicators indicate a decline in profit taking for Ripple holders who acquired tokens within the past month.
A neutral or low MVRV ratio reduces the likelihood of a short-term sale, in line with the whale’s ongoing accumulation phase.
The convergence of declining profit taking, increased whale activity, and stabilization above key support levels suggests a cautiously optimistic outlook for XRP.
While resistance near $2.46 persists, these indicators collectively suggest a possible price recovery in the coming weeks.
– Realistic or not, the XRP market cap in terms of BTC is:
XRP’s current market dynamics, featuring whale accumulation and reduced selling pressure, provide a solid foundation for a potential recovery.
As the token stabilizes at critical levels, the market’s focus shifts to whether it can overcome resistance and extend gains. The next few trading sessions will reveal whether XRP’s resilience will lead to a sustained bullish breakout.