- XRP whales are offloading, with exchange reserves rising and whale flows at record lows.
- Despite the sell-off, bullish formations suggest potential midterm gains, with targets above $3.
XRP saw a sharp rally, gaining 35% after U.S. President Donald Trump announced that the token would be part of a U.S. strategic crypto reserve. The excitement was short-lived. As of March 4, XRP has erased all of its recent gains, falling back under pressure.
On-chain data shows that profit-taking is happening among large investors. CryptoQuant founder Ki Young Ju referred to increased whale activity in the $2-$3 range. This also aligns with the so-called “ distribution phase ,” a phase where large holders sell their tokens, typically after a price rise.
Source: CryptoQuant
This trend was corroborated by on-chain analyst Maartunn , who demonstrated that XRP’s whale flow metric, tracked using a 30-day moving average, is at an all-time low. Whales are “dumping XRP like never before,” he noted, an indication of intense selling pressure.
Meanwhile, XRP exchange reserves on Binance have risen from 2.72 billion to 2.90 billion tokens. A rise in exchange reserves typically implies more selling pressure, supporting the theory that large holders are offloading.
Source: CryptoQuant
XRP Drops to $2.37, But Traders Eye Bullish Reversal
XRP is currently trading at $2.37, 8.42% down in the last 24 hours. Despite the bearishness, some traders believe that this pullback is just a correction before another move upwards.
[mcrypto id=”12299″]Captain Faibik referred to a bullish pennant pattern in the daily chart, signaling an 80-100% price hike in the midterm. Similarly, analyst CasiTrades noted that XRP is in Wave 4 consolidation.
According to his analysis, XRP recently bounced off the $2.565 support to form a triangle pattern. If the level is maintained, the next major test will be at $3.05, where a breakout will take XRP to $3.57.
Source: X
CasiTrades also suggested that XRP might be in the early stage of a larger uptrend, in which case an eventual breakout might see it challenging all-time highs. However, before that, a Wave 2 correction might occur, driving prices back into the $2.40-$2.50 area before a more substantial rally is achieved.
Long-Term Predictions: $27-$33 Possible?
EGRAG CRYPTO was even more bullish, forecasting XRP to reach $27-$33 by May 2025. He comes to this conclusion by examining historical price action, in this case, XRP’s 2017 cycle, which included a 2,500% gain in just 175 days.
It’s now resembling the previous bull run, he stated, referring to the potential for another explosive move. He referred to the formation of a weekly channel and indicated how the 21 EMA just closed above an important level with just a small wick.
Source: X
In technical analysis, such a pattern usually indicates that a breakout is imminent. If XRP is to follow the same trajectory as in 2017, it might get to the Fibonacci 1.618 extension level, which coincides with the $27-$33 range.
One of the significant details in his prediction is the expected timeline. As opposed to long-term predictions that stretch across the years, EGRAG believes XRP’s next significant rally might unfold much sooner, in just 28 days.
This is in line with the acceleration of the prior cycles, in which once momentum is achieved, price action occurs quickly.
