XRP Flashes Bullish Accumulation Signal as Exchange Reserves Drop 3.36%
On-chain indicators show a 3.36% decline in XRP exchange reserves since early October — a historically bullish pattern suggesting steady accumulation by large holders.
Market Overview
XRP traded within a tight $0.05 range on Tuesday, fluctuating between $2.38 and $2.41 as institutional flows helped maintain stability above key support. Despite repeated rejections near $2.43 resistance, the token held firm, consolidating within a narrow band as broader crypto sentiment remained mixed.
Trading volumes surged to 79.86 million, about 94% higher than the 24-hour average, during a midday test of the $2.38 level. The rebound from that base reinforced signs of institutional accumulation, even as retail participation stayed limited.
Intraday Action
Midday trading proved to be the session’s turning point. Sellers briefly pushed XRP toward $2.38, only for aggressive buyers to step in and reverse losses, restoring the price to $2.41. The move kept XRP locked within a 2% intraday range, signaling disciplined accumulation rather than speculative breakout behavior.
Hourly data confirmed a modest upward drift, with XRP climbing from $2.397 to $2.405 around 01:47, supported by higher trading volumes and successive higher lows — characteristics consistent with a short-term bullish channel.
Technical Landscape
XRP continues to trace an ascending channel, marked by rising lows and sustained buying activity. The $2.38–$2.39 range remains a key structural support zone, validated by recurring volume spikes during tests. Overhead resistance persists at $2.43, the upper boundary of the consolidation pattern.
Derivatives metrics reflect easing speculative pressure: open interest fell 1.4%, and total trading volumes declined 24% day-on-day. Funding rates turned slightly negative at -0.0007%, suggesting a mild short bias. However, on-chain data continue to favor a bullish accumulation narrative, underpinned by declining exchange reserves.
What to Watch
XRP’s ability to sustain above $2.38 remains central to preserving its accumulation setup. A confirmed breakout above $2.43–$2.48 could trigger a fresh leg higher, opening room toward the $2.65 extension zone.
Conversely, a failure to defend current support could send prices back toward $1.96. Traders are watching volume trends closely — another spike above 80 million during an upside move may confirm institutional accumulation and precede a volatility breakout.
