Key Takeaways
Whale accumulation and bullish cup-and-handle pattern strengthen XRP’s breakout potential. Dominant long positioning and rising Open Interest reflect strong trader conviction.
Over the past 72 hours, large XRP holders have accumulated 320 million tokens, signaling intensified demand from high-value investors.
This aggressive buying spree coincides with a surge in market confidence and reduced selling pressure.
At the time of writing, Ripple[XRP] traded around $3.25, reflecting steady gains despite broader volatility.
Whale accumulation at this scale often limits available liquidity on exchanges, potentially setting the stage for further upward movement.
Hence, this strategic buying wave could be a pivotal factor shaping XRP’s near-term price direction.
Can XRP’s cup-and-handle formation fuel a breakout?
XRP’s daily chart shows a clearly defined cup-and-handle pattern forming near a critical supply zone between $3.35 and $3.50.
This classic bullish setup indicates a consolidation before a possible breakout.
At press time, the Relative Strength Index (RSI) sat at 57.28, suggesting neutral momentum with room for upward expansion.
However, prices must decisively close above the supply zone to confirm bullish continuation.
Given recent whale activity and strengthening sentiment, traders may view this as an opportunity to position early ahead of potential resistance flips.
Source: TradingView
Why long positions dominate the derivatives landscape
On Binance’s XRP perpetual market, long accounts make up 85.33% of open positions, while short accounts account for just 14.67%.
This overwhelming skew toward longs highlights strong trader conviction in XRP’s upside potential.
The long/short ratio of 5.82 reflects a market leaning heavily toward bullish bets. However, such imbalances can amplify both upward and downward moves.
Sustained price gains would likely require continued spot buying support from whales and retail investors to maintain momentum and absorb profit-taking pressure.
Does positive sentiment and high MVRV support a rally?
At the time of writing, the Weighted Sentiment remained positive, indicating market optimism despite recent volatility. The MVRV Z-score was at 3.46, a moderately high level suggesting holders are in profit.
While this can fuel confidence, it also increases the risk of profit-taking near resistance.
Therefore, sentiment and valuation metrics present a balanced picture—optimism is strong, but traders must be mindful of potential selling pressure if gains accelerate too quickly.
Sustaining bullish momentum will likely require continued accumulation and strong buying interest.
Are traders doubling down with higher Open Interest?
XRP’s Open Interest (OI) also climbed to 3.1451 billion, up 7.14%, at press time, underscoring a surge in leveraged market participation.
This rise suggests that traders are committing more capital to both long and short positions, anticipating heightened volatility.
Increased OI, paired with a bullish Long/Short Ratio, often signals growing confidence and the possibility of sharp price moves.
However, without strong spot market support, higher leverage can also trigger sudden liquidations. Therefore, monitoring both funding rates and directional flows remains essential.
Will XRP break past its supply zone?
XRP has a strong probability of breaking past its supply zone if whale accumulation continues at the current pace and dominant long positioning holds.
The combination of a bullish chart pattern, rising OI, and overwhelming trader conviction provides the necessary momentum.
Therefore, a decisive close above $3.50 could confirm the breakout and potentially open the door for sustained gains.
