XRP Surges on Network Activity Boost, Analysts Eye Key Levels
XRP has staged a remarkable comeback this week, distinguishing itself as one of the market’s top performers after a period of subdued activity. The cryptocurrency briefly touched $1.76 before settling around the $1.50 mark.
This resurgence has been bolstered by a significant increase in network participation. Analyst Ali Martinez reported a dramatic surge in active addresses, which climbed from 47,180 to 356,070 – an increase of 654.71% within days. Such a substantial spike typically signals heightened engagement and can coincide with increased price volatility.
If this marks the beginning of a new trend for XRP, analyst Casi Trades suggests that the $1.20 level may soon become a distant memory. She anticipates XRP first targeting $1.78, followed by a retracement to approximately $1.30, before embarking on another push towards $2.57.
According to this analysis, a complete five-wave structure could eventually propel XRP to around $2.90, completing Wave 1 of a larger macro Wave 3. A subsequent correction might bring the asset back towards $1.65, potentially transforming current resistance into future support. In this scenario, the critical factor will not only be the extent of XRP’s ascent but also whether the token experiences another opportunity to trade below $1.20.
Meanwhile, Crypto Patel noted that XRP has broken through seven months of resistance with a weekly gain of approximately 70% from its accumulation zone, shifting the market’s focus to the $1.55 level. Sustaining prices above this point could pave the way for further bullish momentum, while a breach below might trigger a retracement or re-accumulation phase. The long-term outlook remains optimistic, with a target range of $5 to $10.
On the institutional front, the launch of US-based spot XRP ETFs last week began quietly, with zero inflows recorded on Monday. However, this trend rapidly shifted. Tuesday saw inflows of $5.81 million, followed by $2.35 million on Wednesday.
Activity accelerated following an announcement from the US Treasury Department regarding its intention to double the maximum size of liquidity-support buybacks for longer-dated government debt. Thursday registered $13.24 million in inflows, and Friday reached $18.38 million, marking the strongest performance since mid-May.
This buying momentum has carried into the current week. On August 25th, inflows totaled $13.82 million. Bitwise’s fund led the pack with $8.25 million, with Franklin and Canary’s ETFs following with $4 million and $1.57 million, respectively.
Leave a Reply