Originally published on: December 09, 2024
XRP has experienced a notable decline in price over the past week, dropping to lows of $2.16 on December 5th. Despite this dip, the current price of around $2.39 suggests a potential rebound on the horizon.
Three key data points indicate a bullish outlook for XRP, including whale accumulation, increased network activity, and a strong market setup. Amidst the recent market correction, XRP whales seized the opportunity to purchase more tokens at the $2.16 mark, highlighting their confidence in future price increases.
Data from Santiment reveals a significant uptick in XRP holdings by whale addresses, with over 120 million tokens accumulated within a few days. Additionally, withdrawals from centralized exchanges have surged, indicating a shift towards self-custody wallets in anticipation of further price surges.
Notably, XRP reserves on exchanges have decreased by 10% since December 5th, reflecting a reluctance by whales to sell their holdings. This scarcity of supply could drive XRP prices higher in the near future.
Furthermore, active addresses on the XRP Ledger are at a 33-month high, with transaction counts rising by 190%. These indicators suggest a growing user base and increased network engagement, potentially propelling XRP to all-time highs.
Renowned trader Peter Brandt predicts a breakout in XRP’s market capitalization, setting a target of $146 billion, surpassing previous all-time highs. Other analysts also anticipate double-digit price targets for XRP, with predictions ranging from $3.00 to above $35.
While these projections are speculative and not investment advice, the market sentiment surrounding XRP remains optimistic. With potential for a rally towards $5, XRP investors are eagerly anticipating the next phase of this historic run.