After an impressive 12% rally, Ripple Labs’ native token XRP is poised to maintain its bullish momentum as a bullish breakout approaches. Amid this upward trend, trader and investor participation has soared, as revealed by on-chain metrics including open interest, long/short ratio, and entry/exit data.
Growing interest from traders
However, the data also reveals that traders are increasingly betting on long positions due to bullish market sentiment around XRP. Meanwhile, long-term holders sell their holdings, likely realizing profits after significant accumulation during price declines.
Are long-term holders cashing out?
XRP spot inflow/outflow data reveals that exchanges saw a large inflow of $57.55 million in XRP as the price broke out of consolidation and gained upward momentum. Notably, this is the first time in the last two weeks that exchanges have experienced an influx of XRP.
In cryptocurrency, inflow refers to the movement of assets from wallets to exchanges, often indicating a potential sell-off or future price decline. However, the recent inflow is significantly less than what long-term holders have accumulated over the past two weeks.
XRP Technical Analysis and Upcoming Levels
According to expert technical analysis, XRP is poised to break out of a bull flag and pole price action pattern on the daily time frame. However, the price is currently facing resistance near the $2.34 level.
XRP Price Prediction
Recent price action suggests that if XRP breaks through this resistance and confirms a breakout of the uptrend, the asset could potentially surge by 80%, reaching the $4.45 level in the future.
On a positive note, the asset’s Relative Strength Index (RSI) currently stands at 56.85, below oversold territory, indicating that XRP has ample room for significant growth in the coming days.
Current Price Dynamics
At press time, XRP is trading near $2.33 and has seen an 11% rise in the past 24 hours. During the same period, its trading volume jumped 30%, reflecting increased participation from traders and investors amid a potential breakout.
