Ripple’s $1B XRP reallocation and rising NVT utility hint at bullish accumulation.
Technical trend, MACD crossover, and resistance clusters signal breakout momentum building.
Ripple executed synchronized transfers involving 1 billion XRP—locking 500 million back into escrow and receiving another 500 million from unknown wallets.
These combined moves, worth over $1.1 billion, suggest strategic internal restructuring that may impact market liquidity. At the time of writing, Ripple [XRP] traded at $2.20, reflecting a mild 0.25% daily increase.
This activity fuels speculation that Ripple could be preparing for institutional partnerships or operational allocations. The inflow and escrow events may serve as catalysts for renewed investor interest and price momentum.
Rising pressure beneath the surface
The Exchange Reserve USD stood at $6.0996 billion after rising by 1.22% at press time, signaling increased deposits into centralized exchanges.
This rise often reflects growing sell-side pressure, as more coins become available for trading or liquidation. However, it could also represent preparation for leveraged positions or broader market participation.
Therefore, the exchange activity introduces near-term volatility risk while also providing sufficient liquidity depth for whales or large market actors to reposition.
Additionally, the timing aligns closely with Ripple’s internal transfers, hinting at coordinated market setup.
Source: CryptoQuant
The NVT ratio has dropped 56.67% to 78.90, indicating that XRP’s transaction volume is growing significantly faster than its market cap.
This trend usually reveals undervaluation, especially during phases of heightened network activity. Therefore, the sharp NVT contraction implies improving utility and stronger fundamentals.
Additionally, this drop may reflect early-stage accumulation before a larger breakout.
When paired with increasing exchange deposits, this undervaluation metric reinforces a bullish mid-term outlook. However, price confirmation remains crucial to validate this narrative and avoid short-lived spikes.
Source: CryptoQuant
XRP: An imminent surge ahead?
Liquidation data revealed strong long-side dominance, with $636.87K in long liquidations against only $45.04K in shorts.
This imbalance showed that most traders expected upward price continuation and were positioning accordingly.
However, such crowded long positioning increases downside risk during pullbacks. Therefore, while the market bias remains bullish, the current leverage dynamic could amplify volatility.
Source: Coinglass
The liquidation spread may provide fuel for a breakout if XRP breaches resistance, forcing short sellers to cover positions and driving additional momentum.
Also, the Binance heatmap shows heavy liquidation clustering between $2.25 and $2.33, identifying this as a major resistance zone. Price must clear this area to unlock upside continuation.
Additionally, XRP continues forming higher lows near $2.21, supported by a bullish MACD crossover. This structure strengthens the technical outlook and aligns with the broader accumulation trend.
If buying volume expands, XRP could pierce resistance and push toward the $3.00 zone.
Source: TradingView
XRP looks ready for a breakout as metrics align
Ripple’s massive escrow and wallet transfers, combined with undervaluation metrics and bullish market structure, support the case for a breakout.
While resistance remains heavy between $2.25 and $2.33, the current momentum and fundamentals hint at a bullish continuation.
A successful flip of the $2.40 zone could accelerate XRP’s move toward $3.00 in the near term.
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