Despite XRP’s recent decline beneath the $3 mark, several factors indicate a possible recovery ahead:
- Investor Anticipation: Positive sentiment around upcoming XRP ETF decisions may push the price higher.
- Whale Activity: A significant whale accumulation of $1.1 billion in XRP occurred amidst general market pessimism.
- Bullish Indicators: If XRP breaks above $3.30, it could see a price increase of up to 85% according to technical analysis.
After experiencing a brief surge past $3 on October 2, XRP found itself back at $2.84 due to loss of support from various technical indicators. However, recent trends suggest that the current decline might be a temporary setback, with potential catalysts poised for a rebound.
ETF Approval Could Drive Institutional Interest
October is a crucial month for XRP as the SEC nears deadlines for 16 cryptocurrency ETF applications. Approval of various XRP ETFs between October 18 and 25 could match past trends observed during Bitcoin and Ether’s ETF launches, potentially attracting institutional investments of up to $8 billion. CoinShares data showed $220 million flowing into XRP investment products last week, marking a total of $1.8 billion in year-to-date inflows and $3.2 billion in assets managed.
Whale Accumulation Resilient Against Negative Sentiment
Recent reports have highlighted a shift in retail sentiment towards pessimism, often coinciding with market bottoms. Meanwhile, large investors (whales) have capitalized on this weakness, accumulating 55 million XRP valued at approximately $1.1 billion over just three days.
Traders Are Watching for a Significant Breakout
Currently, XRP’s price maintains robust weekly and monthly closing ranges, and analysts observe a bullish market pattern that could offer substantial gains if the price clears $3.30. Market observers are keeping an eye on the potential for a significant upward movement to $5. However, trader Peter Brandt warns that a daily close below $2.65 might indicate a further downward trend.
“IF it closes below $2.68743 (then I’ll be a hater), then it should drop to $2.22163.”
This article serves only for informational purposes and does not constitute investment advice.
