XRP Price Could Surge to $4 as Analysts Predict Profitable Phase

TLDR

Table of Contents

XRP price rises as whales accumulate, suggesting bullish momentum.
Analyst predicts XRP to reach $4 if key support levels hold steady.
XRP network growth signals increased demand for the cryptocurrency.
Ripple’s institutional moves add to the bullish sentiment around XRP.

XRP’s price has gained momentum recently, rising above $3.00 after a marketwide recovery. Analysts are now predicting that the cryptocurrency may be poised for significant gains, potentially reaching $4 in the near future. However, key support levels must hold if the uptrend is to continue.

Despite concerns about a large XRP sale by Ripple co-founder Chris Larsen last week, whale activity remains strong. Santiment’s Supply Distribution metric shows that large entities, holding between 10 million and 100 million XRP, have been accumulating during price dips, which is seen as a bullish sign. These whales now own over 8.3 billion XRP, indicating confidence in the asset’s future.

Whale Activity and Increased Network Growth Fuel XRP Rise

Whale accumulation plays a critical role in supporting XRP’s price, helping to establish a price floor. This large-scale accumulation prevents selling pressure from pushing the price lower and keeps the momentum moving upward.

The steady growth in new XRP wallets also indicates a rising demand for the cryptocurrency. On July 18, new wallet creation on the XRP Ledger peaked at around 11,000, with an average of 7,500 wallets created daily since then.

According to analysts, this increased network activity is reflective of a growing interest in XRP. The cryptocurrency has also gained over 30% against Bitcoin in the past month, further indicating that the market is increasingly favoring XRP. Santiment analysts have noted that the rise in network growth, combined with whale activity, points to a continued bullish outlook for XRP.

Key Support Levels and Resistance to Watch Before Reaching $4

As XRP approaches new highs, analysts are paying close attention to key support and resistance levels. The price must maintain crucial support at around $3.00, which has held firm in previous pullbacks. A break below this level could signal potential downside risks. However, as long as the price stays above this level, the chances of a rally toward $4 remain strong.

The Ripple token is currently facing resistance near the $3.24 to $3.28 range, where it has struggled to break through in recent trading sessions.

Analysts suggest that if XRP can push past this resistance and see a rise in trading volume, it could break into higher price levels. One analyst, CasiTrades, predicts that if XRP breaks through the $3.30 resistance, the price could quickly reach $3.82, with the potential for continued growth toward $4.

Ripple’s Institutional Moves and XRP Bullish Outlook

Ripple’s recent moves to expand its influence in the financial sector are further fueling bullish sentiment around XRP. The company has applied for a national banking license, which could give its stablecoin RLUSD access to the Federal Reserve’s payment system.

This move, combined with Ripple’s acquisition of the institutional prime brokerage Hidden Road, indicates the company’s intent to bridge the gap between traditional finance (TradFi) and decentralized finance (DeFi).

Ripple’s push to integrate more deeply with institutional players aligns with broader market trends and suggests an expanding use case for the Ripple token beyond just a speculative asset. According to Ripple CEO Brad Garlinghouse, there is growing institutional interest in secure and compliant access to crypto markets, and Ripple is well-positioned to meet that demand.

With technical indicators suggesting strong upward momentum, XRP’s price could soon see a push towards $4, especially if the whales continue to accumulate and key support levels hold. Market watchers will be looking for confirmation of a breakout above the $3.30 resistance level, which could set the stage for a run towards new highs.

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