Significant decrease in XRP holdings amidst large-scale sell-offs, triggering speculation about an upward trend in the XRP price. Over $4 billion worth of XRP moved from wallets in a single day.
XRP's market capitalization saw a significant drop of $4.11 billion over the past 24 hours, threatening its hold above the psychological level of $2. The cryptocurrency is currently trading at $2.31, marking a 1.3% decline over the same period and a 1.6% drop on a weekly basis.
Over the past day, XRP's market cap fluctuated, dipping from approximately $137.5 billion to $133.39 billion before recovering slightly to $135.86 billion at the time of writing. Despite this short-term volatility, XRP's price remains above key support levels, with the 50-day simple moving average at $2.26 and the 200-day SMA at $1.91.
Looking ahead, analysis from OpenAI's ChatGPT suggests that if XRP dips below $2.26, it could test the $2 level, followed by $1.91. However, if the recovery continues and capital inflows resume, a rebound toward $2.35-$2.40 is possible in the near term. If capital outflows persist, XRP might struggle near $2 for the medium term over the next one to two weeks, while a return of positive sentiment could push the token toward $2.50.
Cryptocurrency analyst Brett Crypto recently noted that XRP has broken out of its seven-year descending triangle pattern, suggesting a potential strong upside move with a target set at $4.43. However, XRP has seen a sharp drop in network activity, with the number of new accounts created falling 95% from the early December 2024 peak.
For the short-term and long-term outlook over the next one to two weeks, the potential for both slight corrections and rallies exists, with several analysts predicting significant price increases influenced by regulatory and market developments. Bullish sentiment has been sparked by the SEC reviewing WisdomTree's proposed XRP ETF, with some predicting a surge beyond $27 in the longer term if the ETF is approved. Analysts believe that XRP could reach $5 to $10 by the end of 2025 under bullish conditions, reflecting its utility in the financial sector. Others predict a more conservative range, with XRP potentially moving between $1.4783 and $2.28, indicating a year of consolidation rather than significant growth.
In the context of XRP's current situation, if the recovery doesn't continue and capital outflows persist, XRP might face a struggle near the $2 level for the short term. On the other hand, if positive sentiment returns and investing in technology continues to grow, Xryptocurrency analyst Brett Crypto's prediction of a potential strong upside move with a target at $4.43 could become a reality in the long term.
