cryptonewsz.com
- Today’s rebound in $XRP price may drive a renewed recovery in the falling channel pattern of the daily chart.
- The latest on-chain data shows firm conviction from small-to-mid tier investors of $XRP, while the whales continue to distribute in the market since last year.
- The $1.32 and $1.22 stands as key support levels for $XRP buyers.
On Monday, the $XRP price bounced over 4% to reach its trading value of $1.45. The buying pressure aligns with overall crypto market recovery as Bitcoin reclaims $70,000 after President Donald Trump’s announcement of a 5-day pause on planned U.S. strikes on Iran. However, the latest on-chain data shows underlying demand from retail investors, bolstering the asset for further recovery. Can $XRP coin sustain above the $1.5 mark?
Retail Buying vs Whale Distribution Clash
Over the past six weeks, the $XRP price has traded sideways within a narrow range from $1.6 to $1.42. The coin price showcased several attempts to breach these barriers but failed to sustain beyond them, resulting in immediate reversal.
The lack of initiation from buyers or sellers to drive a strong breakout can be attributed to broader market uncertainty amid geopolitical tension in the Middle East. Typically, such market FUD (Fear, uncertainty, and doubt) triggers panic among retailers.
However, the new numbers on the distribution of token ownership among user addresses show a different story. According to Santiment data. Over 5.66 million wallets are holding less than 100 $XRP each. Another 2.01 million wallets are in the middle range of holding between 100 and 100,000 $XRP.
As shown in the chart below, the number of wallets belonging to these cohorts has been steadily rising since last year, indicating a higher conviction from them for $XRP’s growth potential.
However, the downsloping slope of daily EMAs (20, 50,100, and 200) supports the bearish narrative of price. If sellers continue to hold the overhead trendline, the $XRP price could revert lower and drive an extended correction below $1.5.