8% Bounce: XRP’s Price Rises, But Are the Whales Just Playing Hide and Seek? 🐳📈

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  • XRP’s resilience shines through, even as whales take a breather from their usual hoarding antics.
  • Market sentiment and a healthy trading volume seem to be XRP’s new best friends.

XRP’s price action has been a bit of a rollercoaster, heavily influenced by the whims of the whale community. After a period of declining whale accumulation, XRP took a nosedive. But fear not, for it staged a major recovery over the last 12 hours, bouncing back up by 8%. 🎉

This sudden shift raises some intriguing questions: How much did it lose when the whales decided to take a vacation, and what other forces could be nudging the price in a different direction?

Whale accumulation and XRP’s price drop

On-chain data revealed that whale activity was the driving force behind XRP’s previous price surge. Large holders, particularly those with between 100 million and 1 billion XRP, were on a buying spree before the rally. But as their enthusiasm waned, so did XRP’s price, retracing from its previous highs like a deflated balloon. 🎈

From its peak, XRP lost more than 15% of its value, dropping to a low of $2.04. This aligns perfectly with the decline in whale holdings, confirming that the altcoin’s price momentum is heavily dependent on the interest of institutional and whale investors.

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However, over the last 12 hours, the price registered yet another uptrend. This time, the whales have resumed their accumulation, suggesting that the price might be the one influencing the whales, rather than the other way around. 🔄

XRP’s 12-hour recovery – A sign of strength?

Despite the decline in whale activity, XRP managed to recover in the last 12 hours, climbing back to $2.21 at press time. This move suggests that other market forces are stepping in to support the price, like a group of friends rallying around a buddy who’s feeling down. 🤝

The latest whale accumulation data hints at some returning interest from large holders, but not at the scale seen in previous rallies. Other technical indicators also highlight XRP’s current strength. The Relative Strength Index [RSI] is recovering from oversold conditions, showing increased buying interest. Meanwhile, the 50-day and 200-day moving averages suggest that it is still on a broader uptrend, despite the recent correction.

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Other technical indicators also highlighted XRP’s current strength. For instance, the Relative Strength Index [RSI] seemed to be recovering from oversold conditions, showing increased buying interest. Meanwhile, the 50-day and 200-day moving averages suggested that it is still on a broader uptrend, despite the recent bout of correction.

Beyond whale activity – What could drive the price?

While whale accumulation has been a key driver, XRP’s recovery points to additional factors influencing price action. Broader crypto market sentiment is stabilizing after recent volatility, allowing altcoins like XRP to regain lost ground. Higher trading activity alluded to retail and institutional investors re-entering the market too, preventing further downside. Its ability to stay above $2 suggests strong buyer interest at lower levels, reducing the risk of another major breakdown. Any positive news related to adoption or XRP Ledger improvements could further boost investor confidence.

Can XRP sustain its recovery?

XRP’s recovery over the last 12 hours indicated that its price action is not solely dictated by whale accumulation. While large holders play a significant role, trading volume, market sentiment, and key technical levels also contribute to price movements. If XRP continues to hold above $2.10 and sees renewed whale interest, a further rally towards previous highs could be in play. However, if whale activity continues to fall, it could struggle to maintain its recovery. The next few days will be crucial in determining whether it builds on its momentum or faces another round of sell-offs.

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2025-03-01 15:45