Why Has XRP Surged to a 4-Month High? Whales, Musk, and Market Momentum

Large holders of digital assets, termed whales, have accumulated a significant amount of XRP, reaching a combined total of 45.61 billion tokens—the highest since June 2018.

Data from Santiment shows that wallets holding 1 million XRP or more have added 3.44 billion XRP to their holdings, an 8.16% increase over the past two years. This accumulation trend, alongside XRP’s recent 40% price increase, suggests growing confidence among high-net-worth investors.

XRP Price and Whale Activity

XRP’s price hit a four-month high this past week, climbing above $0.77 as large holders increased their positions. This surge coincides with increased activity from whales and sharks, who have collectively boosted their holdings to a 65-month high.

Read also: Is XRP Poised for a Breakout? Whales and Market Data Say Yes

Additionally, analysts have noted a strong connection between this accumulation trend and XRP’s recent price gains.

Further fueling interest in XRP, Elon Musk commented on the cryptocurrency, comparing its current momentum to the excitement seen during the 2016-2017 bull market. However, Musk also urged caution, hinting at other opportunities in the market and promising to share his investment insights as the bull run progresses.

Musk’s Comments and XRP’s Rise

Following Musk’s remarks, XRP’s price experienced a sharp uptick, gaining 17.67% in a day to reach $0.8185. Its market capitalization also increased by 17.79%, now at $46.60 billion. Additionally, the trading volume increased by 49.45%, recording $10.50 billion over the previous day.

The technical indicators reflect XRP’s bullish momentum. The MACD shows a blue line at 0.0314 positioned above the orange line at 0.0262, a positive alignment that indicates ongoing buying pressure.

Moreover, the RSI stands at 65.43, nearing the overbought level of 70, suggesting that XRP has further room for potential gains if buying momentum continues.