XRP Price Prediction: Ripple Volatility as Dormant Wallets Reactivate, Rebound to $5?
XRP is currently navigating a phase of profit-taking and whale-driven volatility while maintaining critical technical support following an..
Quick overview
- XRP experienced a significant breakout in July, reaching a peak of $3.65 before facing profit-taking and volatility.
- Despite recent price declines, the 50-day simple moving average has provided crucial support for XRP.
- Whale activity has intensified, with large holders offloading an average of $28 million in tokens daily, raising concerns about short-term price stability.
- Ripple's long-term outlook remains positive due to increasing institutional interest and potential for deeper adoption in financial applications.
Live XRP/USD Chart
XRP is currently navigating a phase of profit-taking and whale-driven volatility while maintaining critical technical support following an impressive burst to new highs in July.
Recent Price Action
XRP’s rally in late June marked a decisive escape from its months-long consolidation between $1.90 and $2.00. That breakout carried the token to a peak of $3.65 in early July, coinciding with Bitcoin’s surge to $122,000, which fueled bullish sentiment across the crypto market.
However, momentum cooled in the following two weeks as Bitcoin slipped to $112,000 and XRP fell below the $3.00 level, eroding some of its breakout enthusiasm. Despite the retreat, the 50-day simple moving average has acted as a reliable support level.
Ripple Chart Daily – The 50 SMA Held As Support
Over the weekend, XRP staged a modest recovery after testing this support zone, signaling that buyers remain engaged, though sentiment is far more cautious than during the initial breakout.
Whale Activity and On-Chain Shifts
Market pressures are being amplified by whale activity. Data from CryptoQuant shows that large XRP holders have been offloading an average of $28 million in tokens daily over the past three months. This persistent selling has added weight to the market and raised doubts about short-term price stability.
On-chain analytics also reveal that older, previously inactive wallets have reawakened, bringing substantial dormant supply back into circulation. Over the past month, the average age of XRP holdings has dropped by 91 days, a 13% decline, suggesting that long-term holders may be preparing for a major market event. Historically, this pattern has preceded heightened volatility, as sudden token movements often foreshadow strategic exits or reallocation.
Long-Term Outlook and Adoption Potential
Despite current turbulence, Ripple’s fundamental narrative continues to strengthen. Industry interest in RippleNet and XRP’s role in real-world financial applications remains a bullish driver. JPMorgan’s acknowledgment of Ripple’s technology as a tool for fast, cost-effective cross-border payments highlights the asset’s potential for deeper institutional integration.
If market conditions stabilize and adoption momentum continues, XRP could revisit $3.65 and potentially advance toward the $5 mark over the coming quarters. Sustained whale selling remains a short-term headwind, but increasing utility and institutional recognition provide a strong foundation for its long-term growth story.
Ripple XRP Live Chart
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