XRP whale demand at highest in 7 years… technical indicators are bearish

XRP has barely held the $2 level after the recent market plunge, but on-chain data shows whale buying at its highest level in seven years. However, technical indicators still point to weakness.

On the 2nd (local time), on-chain analytics platform Santiment reported that despite the number of XRP whale wallets holding more than 100 million decreasing by 20.6% over the past eight weeks, total holdings stood at 48 billion, the highest in seven years. This suggests large investors used XRP's price weakness as a buying opportunity.

Whale deposit flows to exchanges on Binance have also remained stable. Over the past month, whale wallets' exchange transfers averaged around 1,000 per day. According to CryptoQuant, buy volume in the spot market exceeded sell volume for three consecutive weeks, showing an improving supply-demand trend.

Meanwhile, technical signals are mixed. AMB Crypto analyzed that "XRP's Relative Vigor Index (RVI) has fallen to -0.02, indicating sustained strong selling pressure." The RVI is an indicator that measures trend direction and momentum; a drop below 0 can signal a shift to bearishness.

AMB Crypto forecasted that "if XRP falls below the $2 support again, $1.9 would be the next lower support zone." As of the 2nd, XRP was trading in the $2 range on Binance's Tether (USDT) market, about 6% higher than the previous day.