XRP Trading Sideways as SOL Surges
XRP tokens, the native cryptocurrency for the cross-border Ripple Labs network, have been trading in a narrow range around $0.62 since mid-November. Meanwhile, SOL has experienced significant growth and surpassed XRP in terms of market cap ranking.
Ripple’s Potential for a Rally
The XRP price briefly tested $0.68 on December 8 before retracing back to support levels. On Christmas Day, resistance was tested at $0.64, with a 74% volume surge and a two-week high of $0.6433 according to CoinGecko data. This raises the question of whether Ripple is poised for another rally, similar to what happened in October.
If so, Ripple could potentially reclaim its market cap rank from Solana, which overtook it in December as the fifth-largest cryptocurrency.
Two Bullish Indicators for XRP
1. Whale Accumulation: Over $200 million worth of XRP was bought by whales this week. Ripple wallets holding 1-100 million XRP tokens saw an increase of 320 million coins from December 17 to December 22. This influx of buying pressure from whales may have contributed to the XRP price surge over the holiday period.
2. Solana Whale Activity: A Solana whale recently moved 500,000 SOL (worth around $47 million) from an unknown wallet to Coinbase. While their intentions are unclear, this move suggests the possibility of selling or trading SOL for profits.
Hot Take: Will Ripple Regain Its Market Cap Rank?
With XRP showing signs of potential upside momentum and whale accumulation, there is a possibility that Ripple could reclaim its market cap rank from Solana. Keep an eye on XRP price movements and whale activity for further insights into the future of Ripple’s position in the cryptocurrency market.
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