XRP To Maintain Price Rally As Whales Reload Amidst Price Dip- Details

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As a seasoned crypto investor with over a decade of experience under my belt, I have seen the market ebb and flow like a restless ocean. The recent surge in XRP, a coin that I have been closely watching for years, has caught my attention once again.

Over the past seven days, the value of XRP has surged by approximately 35%, reflecting an ongoing impressive run in the cryptocurrency market that spans the last two months. Notably, recent events in the XRP sector suggest a continued optimistic trend for this popular digital coin.

Whales Accumulate $288 Million XRP As Price Slides To $2.22

On December 7th, well-known cryptocurrency analyst Ali Martinez posted that large XRP investors (XRP whales) have been actively buying up more XRP during a recent drop in price.

In the fourth quarter of 2024, XRP stood out as one of the top-performing cryptocurrencies, increasing more than 350% since the US elections. Yet, in the last week, there was a substantial drop of approximately 23%, with its value decreasing from $2.90 to $2.22 between December 3 and December 6.

During this timeframe, Martinez observed that entities akin to whales, or wallets containing between 1 million – 10 million XRP, accumulated approximately 120 million XRP, worth around $288 million, thereby expanding their total market possession to roughly $4.7 billion.

Typically, big transactions by market heavyweights (whales) often suggest they’re confident about an asset’s future earnings potential. This is usually a strong indication of optimism, or a ‘bullish’ sign. Not surprisingly, the price of XRP saw a 18% increase, reaching $2.60, within just 48 hours after such bullish whale activity.

Regarding potential heights XRP might reach, analyst Ali Martinez predicts a possible peak at $4.34, a level that could be beneficial for traders looking to cash out. Yet, sudden price drops could cause the cryptocurrency to rebound towards $2.23 – a point Martinez refers to as a significant “area of support”.

XRPL Active On-Chain Addresses Surpass 100,000

Speaking as an analyst, I’ve noticed a substantial surge in the number of active on-chain addresses on the XRP Ledger (XRPL) in recent times. This uptick could potentially indicate increased activity and interest in the XRP ecosystem.

As per Wenry’s analysis at CryptoQuant, exchange transfers had been leading transaction volume on the XRPL until Q3 2024. But since then, direct on-chain transactions involving XRP have surpassed inflows from exchanges, with a significant increase in active addresses observed in recent months, peaking at approximately 100,000 daily addresses on December 2.

This advancement is largely due to multiple elements, one of them being the enhancement of XRPL’s DeFi framework, making it more appealing and suitable for leading decentralized protocols like Uniswap, Maker, and others to operate effectively within it.

Furthermore, noteworthy advancements have been made in creating layer 2 systems for the XRPL to enhance scalability, compatibility, and versatility. Key initiatives in this area include The Root Network, the XRPL-compatible Ethereum Virtual Machine, and XRPL Hooks.

Currently, XRP is being traded at approximately $2.57, having seen a 3.94% increase in the last 24 hours. Concurrently, its daily trading volume has decreased by 13.70%, amounting to around $12.03 billion. At the moment, XRP is the third largest cryptocurrency, boasting a market capitalization of $147.98 billion.

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2024-12-08 20:10