$46 Million in XRP Leaves Binance, Buy Signal or What?
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XRP, the native token of Ripple Labs, is poised for upside momentum as on-chain metrics, technical analysis, and recent whale activity hint at bullish signals. Recently, a whale transaction tracker, Whale Alert made a post on X (previously Twitter) that 22.08 million XRP tokens worth $46.13 million were transferred from Binance to an unknown wallet.
Whale Buy the Dip Adds $46.13 Million XRP
This substantial XRP transaction occurred during a period when the overall cryptocurrency market was struggling to gain momentum and had been bleeding significantly. However, this transfer of XRP hints at “buy the dip” activity.
However, yesterday, December 10, 2024, the market downturn caused XRP along with other cryptocurrencies, to bleed significantly. Despite this, whales and long-term holders remained controlled, as they did not move their XRP holdings from their wallets to exchanges for a sell-off, according to the on-chain analytics firm Coinglass.
$140 Million of XRP Outflow from Exchanges
Data from XRP spot inflow/outflow revealed that exchanges have witnessed a substantial $139.5 million worth of asset outflow in the past three days, while yesterday’s price decline caused a modest inflow of $11 million. This data indicates that long-term holders remain focused on accumulation despite the price decline.
In the cryptocurrency industry, outflow refers to the movement of assets from exchanges to wallets, which is considered a bullish sign as it hints at a potential upside rally and a perfect buying opportunity.
XRP Technical Analysis and Upcoming Levels
Besides the rising interest from whales, XRP’s daily chart appears to be forming a bullish flag and pole price action pattern, hinting at significant upside momentum in the coming days. However, XRP has held itself above the strong support level of $2, which keeps the altcoin bullish, but it is currently facing minor resistance near $2.45.
Based on the recent price action, if XRP breaks the resistance level and closes a daily candle above $2.5, there is a strong possibility it could soar by 60% to reach $4.2. However, there is also a chance of an 18% price decline if sentiment shifts to the bearish side.
Current Price Momentum
At press time, XRP is trading near the $2.40 level and has witnessed a price surge of over 20% in the past 24 hours. However, during the same period, its trading volume dropped by 8%, indicating lower participation from traders and investors compared to the previous day.
