XRP Price Builds Momentum Towards $3.40 – Is This the Breakout Bulls Have Been Waiting For?
With XRP rallying 12.5% to $2.79 and resistance at $3.00 in sight, will bullish momentum push it to new highs? | That's TradingNEWS
XRP Price Surges as Bulls Take Control – Will $3 Be the Next Stop?
XRP has been on a strong uptrend, rallying 12.5% in the past 24 hours to trade at $2.79, fueled by increased transaction volume and investor accumulation. This latest surge follows a period of volatility that saw XRP drop to $2.33 before rebounding sharply. The key question now is whether the momentum will be strong enough to push XRP past $3.00 and toward its next major resistance level of $3.40.
Technical Indicators Signal Strength, But Resistance at $3 Looms
XRP’s price action has formed a bullish pattern, consolidating between $2.60 and $2.90, with higher lows suggesting that buyers remain in control. A close above $2.90 would set the stage for a test of $3.00, a level that has previously acted as strong resistance.
The Relative Strength Index (RSI) sits at 54.14, indicating neutral momentum, while the MACD remains slightly negative at -0.07, suggesting a cautious but positive bias. The ADX at 34.65 confirms moderate trend strength, supporting the potential for further gains.
XRP ETF Speculation and Market Sentiment Drive Optimism
One of the major drivers behind XRP’s recent surge is increasing speculation over a potential XRP ETF approval following the SEC’s acknowledgment of filings by Grayscale and 21Shares. If approved, an ETF would open the floodgates for institutional money, significantly boosting liquidity and demand. Could an XRP ETF be the catalyst that pushes prices past all-time highs?
Another bullish factor is Ripple’s growing institutional adoption, with major financial institutions utilizing RippleNet and On-Demand Liquidity (ODL) for cross-border transactions. As global demand for efficient payment solutions rises, XRP’s real-world use case strengthens its investment appeal.
Whale Accumulation and Exchange Outflows Fuel the Rally
On-chain data reveals that XRP exchange balances have been declining, signaling that large investors are accumulating rather than selling. Historically, such trends precede major price breakouts. Over the past month, exchange outflows have exceeded inflows, indicating growing confidence among long-term holders.
Will this whale accumulation be enough to drive XRP past the critical $3.00 level?
Key Resistance and Support Levels to Watch
If XRP can break and hold above $3.00, the next significant resistance lies at $3.40, a level that previously acted as a multi-year barrier. Beyond that, a move toward $4.00 is possible if momentum continues.
On the downside, support remains strong at $2.60, with further downside risk if XRP falls below $2.50, which could invalidate the bullish setup and lead to a retest of the $2.33 level.
Is Now the Time to Buy XRP?
With bullish momentum building and key technical indicators flashing positive signals, XRP appears poised for a significant move. However, a breakout above $3.00 is crucial to confirming further upside. With ETF speculation, institutional adoption, and whale accumulation aligning, 2025 could be a defining year for XRP.
Will XRP break out to new highs, or is another correction looming? Traders and investors are watching closely, with the next few days likely to determine whether XRP’s long-awaited rally to $3.40 and beyond becomes a reality.
