XRP ($XRP) Price: Whale Accumulation Drives XRP to $2.74 Amid Record Network Activity

TLDR

• XRP price surged over 44.7% in 24 hours, reaching a market cap of $156.3 billion
• Major spike in active wallet addresses, with over 116,000 new addresses
• WisdomTree filed for a spot XRP ETF, joining three other companies with similar applications
• Whale wallets holding 1-10 million XRP added 679.1 million tokens ($1.66 billion) in three weeks
• Total non-empty XRP wallets exceeded 5.5 million, marking an all-time high

The cryptocurrency XRP has experienced a remarkable price increase, surging past $2.70 and recording a 44.7% gain in a 24-hour period. The rally pushed XRP’s market capitalization to $156.3 billion on December 3, 2024, marking a new milestone for the digital asset.

Data from blockchain analytics firm Santiment shows a surge in network activity, with active wallet addresses increasing to over 116,000. This uptick in user engagement comes as trading volumes rose by 93.29% during the same period, indicating growing interest from retail investors.

WisdomTree’s recent filing for a spot XRP exchange-traded fund (ETF) has added momentum to the rally. The asset management firm became the fourth company to submit a Form S-1 filing with the Securities and Exchange Commission, joining Bitwise, Canary Capital, and 21Shares in seeking approval for an XRP-based investment product.

The proposed ETF would list on the CBOE BZX Exchange and initially employ a cash-create method, with plans to implement in-kind creation and redemption pending regulatory approval. This development follows the broader trend of traditional financial institutions seeking to offer cryptocurrency exposure through regulated investment vehicles.

XRP Price on CoinGecko

Whale activity has played a crucial role in the recent price movement. According to Santiment’s data, wallets holding between 1 and 10 million XRP have accumulated an additional 679.1 million tokens, valued at approximately $1.66 billion, over just three weeks.

The total number of non-empty XRP wallets has reached a historic milestone, exceeding 5.5 million for the first time since the cryptocurrency’s inception more than eight years ago. This metric suggests growing adoption and distribution of XRP among users.

Trading data from major exchanges reveals varying levels of regional interest. CryptoQuant CEO Ki Young Ju reported that Coinbase experienced minute-level price premiums ranging from 3% to 13% during the surge, suggesting strong demand from U.S.-based investors.

However, Upbit, a Korean exchange with a larger XRP investor base than Binance, has not shown similar premium pricing. This geographic disparity in trading patterns indicates that the rally may be primarily driven by Western markets.

Technical analysis presents a mixed outlook for XRP’s short-term price action. The Moving Average Convergence Divergence (MACD) chart shows a bearish crossover, with the signal line crossing the MACD line. The histogram has moved into negative territory, suggesting potential near-term price corrections.

The profit-to-loss metric currently hovers around 0.374, indicating that more investors are selling than buying the token. This cautious trading behavior, combined with the bearish MACD signals, suggests that sustaining the current rally may face challenges.

Uptick in the crypto market means uptick in scams — reminder that @Ripple will never ask you to send XRP, and neither will Brad, David, Monica, Stu, or anyone else from Ripple. Stay vigilant!

Learn how to protect yourself and report scams: https://t.co/gG4D3trnOu pic.twitter.com/Bl9clvDLOb

— Ripple (@Ripple) December 2, 2024

Prominent crypto investors have weighed in on XRP’s price movement. Trader Raoul Pal noted on social media that XRP’s chart shows promising patterns, referencing a previous instance where a similar long wedge pattern preceded a 5,600% price increase.

Analyst CrediBULL Crypto highlighted the scale of the breakout, noting that XRP has eliminated 84 months of sideways movement in a single monthly candle. Meanwhile, trader Jacob Canfield projects potential for a 240% move to reach resistance zones from 2017-2019.

The stablecoin holdings ratio has declined to 53.993% of the total supply, suggesting some caution among large investors. This metric indicates that whales may be hesitant to add new positions at current price levels.

Ripple, the company closely associated with XRP, has maintained its focus on security awareness during the price surge, warning users about potential scams that often accompany periods of market excitement.

At press time, XRP trades at $2.74, maintaining its position as one of the largest cryptocurrencies by market capitalization.

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