XRP recovers despite rising Binance whale inflows
- XRP gains ground and reclaims the $1.32 support level, but the 200-day EMA resistance could limit recovery.
- Whale inflows to Binance rise to a six-month high of 1.6 billion XRP, but supply threatens recovery.
- The XRP technical structure shows stability, with the RSI rising near the midline and the 50-day and 100-day EMAs providing support.
Ripple (XRP) ticks up and trades above $1.32 on Friday. Bulls are slowly returning to the market as dust from this week’s macro crosswinds and regulatory headwinds settles.
Macro and regulatory headwinds ease
The United States (US) Federal Reserve (Fed) 25 basis point interest rate hike to the 3.75%-4.00% range was widely priced in and largely expected; hence, the prevailing stability and signs of a short-term recovery.
Earlier, the US Senate failed to pass the CLARITY Act, a comprehensive market structure framework for regulating the crypto industry. The bill now faces greater uncertainty ahead of the mid-term elections, with analysts foreseeing the possibility of a new bill beginning next year.
“The legislative setback is worth watching. The failure of the CLARITY Act to advance delays regulatory certainty and leaves further progress dependent on SEC and CFTC rulemaking,” the Crypto Finance team said in an emailed report, adding, “yet the muted price reaction reinforces the idea that regulation is currently a secondary driver compared with macro liquidity and institutional positioning.”
XRP whale inflows to Binance surge
On-chain data shows a significant increase in XRP large-volume inflows to Binance, with total inflows over the past 30 days reaching around 1.5 billion XRP. This marks the highest level since last March, according to CryptoQuant.
The surge reflects a steady pattern in transfers from large wallets to Binance compared with previous months. It also ends an extended decline in the metric since March and a recovery from May, June and July lows.
Still, growth in exchange inflows is often considered bearish for the underlying asset, as they increase available supply in the market. In other words, larger exchange balances suggest investors are preparing to trade or sell the token, which can weigh on price action.
“If inflows rise without a corresponding increase in selling pressure, the movement may reflect trading activity or a repositioning of holdings rather than an immediate intent to liquidate,” Arab Chain stated on CryptoQuant.
Technical analysis: XRP recovers as bulls defend support
XRP trades at $1.33, holding a constructive near-term bullish bias as price stays above the 50-day, 100-day and 200-day Exponential Moving Averages (EMAs). The 50-day EMA at $1.29, the 100-day EMA at $1.26 and the SuperTrend line at $1.25 collectively form a rising demand zone underpinning the advance.
At the same time, the Relative Strength Index (RSI) near 49 suggests neutral momentum after cooling from overbought conditions. The Moving Average Convergence Divergence (MACD) indicator remains slightly negative, with the line below its signal and the histogram contracting, hinting at a pause in upside pressure rather than a decisive reversal.
On the downside, initial support lies in the current trading area around $1.33, followed by the 50-day EMA at $1.29 and then the 100-day EMA at $1.26, with the SuperTrend base at $1.25 reinforcing a broader floor above the historical trendline-break region near $0.80. On the topside, the 200-day EMA at $1.36 is the next key resistance to reclaim. A sustained move above this level would strengthen the bullish bias and open the way for a continuation of the broader recovery phase.
(The technical analysis of this story was written with the help of an AI tool. Know more.)
Bitcoin, altcoins, stablecoins FAQs
Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. This form of payment cannot be controlled by any one person, group, or entity, which eliminates the need for third-party participation during financial transactions.
Altcoins are any cryptocurrency apart from Bitcoin, but some also regard Ethereum as a non-altcoin because it is from these two cryptocurrencies that forking happens. If this is true, then Litecoin is the first altcoin, forked from the Bitcoin protocol and, therefore, an “improved” version of it.
Stablecoins are cryptocurrencies designed to have a stable price, with their value backed by a reserve of the asset it represents. To achieve this, the value of any one stablecoin is pegged to a commodity or financial instrument, such as the US Dollar (USD), with its supply regulated by an algorithm or demand. The main goal of stablecoins is to provide an on/off-ramp for investors willing to trade and invest in cryptocurrencies. Stablecoins also allow investors to store value since cryptocurrencies, in general, are subject to volatility.
Bitcoin dominance is the ratio of Bitcoin's market capitalization to the total market capitalization of all cryptocurrencies combined. It provides a clear picture of Bitcoin’s interest among investors. A high BTC dominance typically happens before and during a bull run, in which investors resort to investing in relatively stable and high market capitalization cryptocurrency like Bitcoin. A drop in BTC dominance usually means that investors are moving their capital and/or profits to altcoins in a quest for higher returns, which usually triggers an explosion of altcoin rallies.
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
