Ripple’s XRP token experienced one of the most significant recoveries in recent days, soaring from just under $1.00 to a multi-month high of $1.70. However, this impressive rally has stalled, with momentum waning. The digital asset is currently struggling to maintain its position at $1.40, marking a 20% decline from its peak last Saturday. The market sentiment further soured on Friday following a hawkish address by Federal Reserve Chair Kevin Warsh at Jackson Hole.
Underlying Activity and Whale Accumulation
Prominent analyst Ali Martinez has been closely monitoring shifts in XRP’s underlying network activity during this recent price surge. As previously reported, active addresses on the XRP Ledger saw a dramatic increase, skyrocketing by over 650% at one point, jumping from 47,180 to more than 356,000. Concurrently, large holders, often referred to as “whales,” engaged in substantial accumulation, acquiring over 300 million tokens within a mere 96-hour period.
Key Support and Resistance Levels
The critical question now is whether this underlying demand can prevent the current pullback from escalating into a more severe downturn. The token’s technical structure has weakened since its rejection at the $1.70 mark, and it is now facing pressure at $1.40. According to Martinez, this signifies that XRP failed to hold above the 50-week exponential moving average, which stood at $1.54.
This development has shifted focus to the $1.35-$1.38 region as the next crucial support zone, which is currently being tested. Martinez noted that approximately 3.2 billion XRP were traded within this area, according to URPD data, highlighting its significance.
Fellow market commentator CRYPTOWZRD observed a bearish and volatile trend in XRP’s recent price action, with the token closing lower for the day. They emphasized that holding above $1.40 is vital, a level that XRP has struggled to maintain.
Martinez also identified key resistance barriers that XRP would need to overcome should it resume its rally from the previous week. The initial hurdle is at $1.60, where 1.99 billion tokens were traded. Following that is the $1.68 level, with a similar volume of traded coins. The most significant obstacle, however, lies at $1.86, where a substantial 3.47 billion XRP changed hands. A decisive breakout above this level could pave the way for a push towards the psychologically important $2.00 mark and potentially up to $2.19.
XRP AT KEY SUPPORT
After rallying 71.8% from $0.988 to $1.698, XRP has entered a 20% correction and is now testing a major support zone.
According to the URPD, roughly 3.2 billion XRP were traded between $1.35 and $1.38, making this one of the most important demand levels.
As… pic.twitter.com/i5r1tPsMJe
— Ali Charts (@alicharts) August 29, 2026
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