XRP extends short-term advance as whale and retail demand strengthen
- XRP rises for a third consecutive day, targeting a short-term technical breakout at $1.10.
- Investors with 10,000-100,000 XRP increase their risk exposure, holding 11.9% of the total supply.
- The retail market shows increasing appetite as perpetual futures Open Interest climbs to 2.27 billion XRP.
Ripple (XRP) rises toward the pivotal $1.10 resistance on Thursday, marking three consecutive days of gains. This neutral-to-slightly bullish outlook follows the Federal Reserve (Fed) decision to leave interest rates unchanged in the 3.50%-3.75% range.
Fed Chair Kevin Warsh embraced a hawkish tone in the post-meeting press conference, underlining the central bank’s direction toward “only one target and it is 2%” inflation. Warsh emphasized that the Fed under his leadership “will deliver the 2% target.”
XRP whales keep accumulating despite weak market sentiment
Large volume holders with between 10,000 XRP and 100,000 XRP have continued to increase their risk exposure, as their cumulative holdings climb to 11.9% of the total supply on Thursday, up from 11.75% the day before and 11.64% on July 1.
According to Santiment, investors with between 100,000 XRP and 1 million XRP have also increased their appetite to hold 11.75% of the token’s total supply, up from 11.45% on July 1.
Interestingly, demand for XRP surged amid growing risk-off sentiment in the broader cryptocurrency market, primarily attributed to rising geopolitical tensions in the Middle East and macroeconomic uncertainty ahead of the Federal Open Market Committee (FOMC) meeting on Wednesday. If sustained, higher demand would absorb selling pressure, easing resistance and supporting a short to medium-term breakout.
Retail demand shows signs of increasing, with perpetual futures Open Interest (OI) averaging 2.27 billion XRP on Thursday, up from 2.25 billion XRP the previous day. However, the current level falls below this week’s high of 2.29 billion XRP, undermining risk appetite.
Technical analysis: XRP bulls eye short-term breakout
XRP trades at $1.08, keeping a bearish near-term tone as price remains capped beneath the Bollinger middle layer at roughly $1.10 and all key Exponential Moving Averages (EMAs). The 50-day EMA at $1.13, together with the upper Bollinger band around $1.14, reinforces a dense resistance zone overhead, while the 100-day and 200-day EMAs at $1.21 and $1.41 suggest that the broader trend still leans lower.
Momentum is soft, with the Relative Strength Index (RSI) hovering near 45 on the daily chart and the Moving Average Convergence Divergence (MACD) fractionally negative, hinting at fading bullish attempts.
On the downside, initial support lies at the lower Bollinger band near $1.05, where dip buyers could attempt to stabilize the pair. As long as XRP trades below the $1.10 Bollinger midline boundary and remains under the clustered resistance formed by the 50-day EMA at $1.13 and the upper band at $1.14, rallies are likely to be corrective and vulnerable to renewed selling, with a break under $1.05 opening the door to further weakness toward the prior psychological lows such as the $1.00 level.
(The technical analysis of this story was written with the help of an AI tool. Know more.)
Ripple FAQs
Ripple is a payments company that specializes in cross-border remittance. The company does this by leveraging blockchain technology. RippleNet is a network used for payments transfer created by Ripple Labs Inc. and is open to financial institutions worldwide. The company also leverages the XRP token.
XRP is the native token of the decentralized blockchain XRPLedger. The token is used by Ripple Labs to facilitate transactions on the XRPLedger, helping financial institutions transfer value in a borderless manner. XRP therefore facilitates trustless and instant payments on the XRPLedger chain, helping financial firms save on the cost of transacting worldwide.
XRPLedger is based on a distributed ledger technology and the blockchain using XRP to power transactions. The ledger is different from other blockchains as it has a built-in inflammatory protocol that helps fight spam and distributed denial-of-service (DDOS) attacks. The XRPL is maintained by a peer-to-peer network known as the global XRP Ledger community.
XRP uses the interledger standard. This is a blockchain protocol that aids payments across different networks. For instance, XRP’s blockchain can connect the ledgers of two or more banks. This effectively removes intermediaries and the need for centralization in the system. XRP acts as the native token of the XRPLedger blockchain engineered by Jed McCaleb, Arthur Britto and David Schwartz.
Author
John Isige
FXStreet
John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren
