XRP Price Soars Amid Whale Accumulation — A 700% Rally in Making?

XRP (XRP) prices have rebounded by over 70% a month after bottoming out at around $0.382. On July 31, the Ripple-backed cryptocurrency traded for as high as $0.658, its best level in four months.

Interestingly, the XRP price rise coincides with a mounting accumulation sentiment among its richest addresses, also known as “whales.” In addition, the rebound mirrors pre-2017 rally fractals, suggesting that the cryptocurrency has more room to grow in the coming months.

The Return of XRP Whales

On-chain data analytics platform Santiment noted a spike in the XRP holdings among addresses with a balance of at least 10,000 XRP tokens.

“279.4K such shark and whale addresses exist on the ledger, returning to a 6-month high,” the platform said in its X post, adding:

“The correlation between these wallets and XRP’s market value has been undeniable throughout 2024.”

The accumulation by large holders can influence retail sentiment, given that retail investors often view whales’ actions as a signal of upcoming positive price movements, which can lead to additional buying pressure and further price increases.

SEC vs. Ripple Conclusion on August 1, 2024?

The United States Securities and Exchange Commission (SEC) is backing down from its grilling approach toward cryptocurrencies it earlier deemed “securities,” following Donald Trump’s assurance over the weekend that he would fire the SEC chairman Gary Gensler upon his potential reelection as the U.S. president in November.

For instance, earlier this week, the agency retracted its request for the “security status” of Solana (SOL), Cardano (ADA), and Polygon (MATIC). This approach triggered XRP traders into believing that the SEC may also turn less aggressive against Ripple, right when its lawsuit against the blockchain company is nearing.

Rumors of a settlement between the two parties circulated widely ahead of the closed-door meeting on July 25. XRP has jumped by over 12.50% ever since, and its recent gains are arriving just hours ahead of another private meeting between Ripple and the SEC.

A conclusion to the lawsuit may propel the XRP price higher even further.

XRP Technical Analysis: Symmetrical Triangle Breakout Underway

As of July 31, XRP price was breaking out of a giant symmetrical triangle pattern that has capped its upside attempts since 2018.

This symmetrical triangle appeared after the 2017-2018 price boom, which indicates a bullish continuation after a breakout. As a rule, when the price breaks above the triangle’s upper trendline, it can rise by as much as the maximum distance between the pattern’s upper and lower trendline.

That said, the XRP symmetrical triangle’s upside target is around $5.60, up 700% from the current price levels. At the same time, the Fibonacci levels mentioned in the chart above represent potential resistance levels as XRP attempts to reach $5.60 in the long term.