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HomeAltcoinsWhales continuous accumulation of XRP catches the eyeballs of crypto investors

Whales continuous accumulation of XRP catches the eyeballs of crypto investors

The valuation of XRP is still converging between two crucial trend lines. The asset is coiling up in preparation for a massive breakout, which will culminate in a stunning run-up or run-down.

Since December 2021, the price of XRP has set two lower highs and two higher lows. Drawing a trend line along these swing points reveals the formation of a symmetrical triangle. Even though there is no breakout bias in this analytical pattern, the distance between the initial swing high and the swing low predicts a 46 percent gain.

The viable target for the setup is revealed when this distance is added to the breakout. A bullish breakout would place the remittance token at USD 1.24, while a bearish breakout would have it at USD 0.362. Based on current market bullishness, the price of XRP is projected to appreciate when it breaks out of the symmetrical triangle.

XRP whales have been actively accumulating the remittance token, according to the supply distribution map. The number of whales with 10 million or more XRP tokens increased from 317 to 337 between February 6 and February 21. This 6.3 percent rise reflects their investment preferences, demonstrating that these investors are interested in XRP at present levels, hinting that a bullish breakthrough from the symmetrical triangle is imminent.

The upbeat forecast makes sense. Market participants, on the other hand, should be aware of the bad scenario in order to minimise their risks. Triangles are often met with a fakeout before the price reverses in the desired direction. Because of the liquidity present below the equal lows recorded at USD 0.509, this is a possibility for XRP.

Another possibility is for a momentary wick to go below $0.509, allowing market makers to seize liquidity. This move will almost probably result in buyers obtaining XRP at a discount, sparking a bull run. In the worst-case scenario, the XRP price would close below $0.509 on a daily basis. This move would result in a lower bottom, leaving the bullish thesis for the remittance token null and void.

Vaishali Goel
Technology enthusiast, explorer and academic scholar. Currently exploring the crypto world. Join me in my journey to see how crypto, NFT and Metaverse will change the world.
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