• XRP makes a U-turn as it flips to a bullish sentiment with a significant surge in active wallet addresses while the reserve on Binance sharply drops. 
  • Even so, some analysts believe that the asset could still make a further drop to $1 due to the formation of a head-and-shoulders pattern. 

XRP has managed to overturn its recent downtrend, recording positive gains across all the notable trading periods. According to our market data, the asset has surged by 5.5% in the last 24 hours, 9% in the last seven days, 3.8% in the last 30 days, 3.2% in the last 90 days, and 6.8% from year to date. Its market cap has made a quick rebound to $143 billion as $9.4 billion changes hands at press time.

Looking into its on-chain activities , we found that the current trend aligns with investors’ confidence as Binance’s XRP reserves drastically drop. Fascinatingly, this appears to be a sharp turn from the recent increase of Binance’s XRP reserve from 2.72 billion to 2.90 billion, as outlined in our recent blog post.

XRP Metrics Flash Bullish – Active Addresses Up 620%, Exchange Holdings Decline image 0 XRP Metrics Flash Bullish – Active Addresses Up 620%, Exchange Holdings Decline image 1 Source: XRPL

While this scenario is usually linked to the movement of assets to cold storage, it is historically accompanied by a tightening supply and subsequent price surges.

Confirming this trend, analyst Ali Martinez has also shared data that shows that XRP active addresses have surged by a whopping 620% in just a week. Specifically, the numbers increased from 74,589 to 462,650.

XRP Metrics Flash Bullish – Active Addresses Up 620%, Exchange Holdings Decline image 2 XRP Metrics Flash Bullish – Active Addresses Up 620%, Exchange Holdings Decline image 3 Source: Ali Martinez

Meanwhile, the XRP Ledger has also recorded a 24% surge in the number of accounts since early 2024. According to data, the network has 6.2 million accounts, a fair surge from the previous 5 million accounts.

Bullish and Bearish Comments on XRP

Joining the XRP discussion, a popular finance author called Linda Jones has urged investors to make a move while the asset is undergoing a major correction. It is important to note that XRP dropped from $2.99 to $2.20 between March 3 and March 4. According to analyst Ali Martinez, the asset could extend its correction to $1 in a 58% fall from the current level.

Per his observation, XRP is forming a head-and-shoulders pattern on its daily timeframe with $2 serving as the neckline and a major support. Similarly, an analyst identified as Jesse Colombo has also disclosed that XRP is forming the same pattern, indicating that a fall below $2 could be fatal. However, he did not specify how low the asset could go.

Earlier, an analyst called IncomeSharks predicted that XRP could stage a dramatic fall to hit $0.6. His reason was that the asset had been following a “pump and dump” pattern. Regardless, other analysts remain optimistic about the future price of XRP.

According to analyst Captain Faibik, the asset is forming a bullish pennant that could position the price at $5. This also aligns with a recent prediction by analyst Worlds of Charts. As explained in our last analysis, Worlds of Charts believes that a breakout from a descending trendline could trigger buying pressure, which would send XRP to $5.

Another analyst called Egrad Crypto has also predicted that the asset could hit $27 this cycle. As mentioned in our previous news brief, XRP could repeat the 2017 move, which could likely send its market cap to at least $1 trillion.

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