XRP Price Insights:
- Ripple (XRP) briefly reclaimed the $0.61 area earlier this week, but as the price edge closer to the critical $0.65 resistance, some warning signals have emerged
- On-chain data shows that the $0.65 level is a historically significant accumulation zone, especially among the current XRP whale investors.
- The Relative Strength Index data shows that XRP is now trending deeper into oversold territory.
Ripple (XRP) price raced above $0.60 early this week as the Ripple team recorded another landmark victory over the Security and Exchange Commission (SEC). However, some critical on-chain and technical analysis indicators suggest the XRP price rally could soon hit a wall.
Back in August, Whale Investors Accumulated Large Amount of XRP at $0.65
As XRP price raced above the $0.60 territory earlier this week, on-chain data reveals that the rising demand among a strategic group of XRP whales were a major driving factor behind the rally.
Whales wallets holding 10 million 100 million XRP were spotted intensifying buying pressure over the last 10 days. As depicted in the Santiment chart below, the whales increased their holdings by a whopping 80 million coins between October 21 and November 2.
Although the whales’ recent buying pressure has impacted XRP price positively, a closer look at their historical accumulation trend raises some early warning signs.
The chart above illustrates XRP was trading around $0.65 when the whale’s first start buying XRP in early August. Hence, this raises warning signals that they could start booking profits once XRP price approaches that price range.
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See all Ripple forecastsXRP Price Prediction: The $0.65 Resistance Could Be Critical
Based on the whales’ historical buying trend, XRP price will likely hit a wall once prices approach $0.65. Technical analysis indicators also support this narrative. Firstly, the Relative Strength Index is currently at 72.30, which confirms that XRP is now approaching oversold territory.
Hence, this adds credence to the prediction that XRP price is at risk of major sell-off as prices edge closer to $0.65.
However, if the bulls manage to force a decisive upswing from that major resistance level, XRP price could begin to rise toward a new 2023 peak.
However, on the flip side, the bears could attempt to force a downswing toward below $0.50 area. But in that case, the 200-day Simple Moving Average price of $0.54, could form a formidable support buy-wall.
