The XRP price is currently at $3.03, down 0.7% over the last 24 hours. The altcoin has been trading sideways for weeks, with a decrease of 2.6% in the past week. One-month returns are slightly negative at 1.4%, although gains over the past three months are nearly 30%.
The charts indicate that the rally has paused for now, with the next upward movement relying on a crucial barrier.
Large Holders Quietly Accumulate
A significant signal comes from large whale wallets. On-chain data reveals that addresses holding between 10 million and 100 million XRP have been gradually increasing their positions in recent days.
On August 16, these wallets held approximately 7.51 billion XRP. By August 24, that amount had increased to 7.76 billion XRP.
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At the current price of $3.03, this accumulation equates to roughly $758 million worth of tokens added in just a week. Such activity usually reflects confidence among whales, who typically build positions before major movements.
Their purchasing has helped alleviate some selling pressure, but it has not been sufficient to push the XRP price through the strongest resistance zone.
Heavy Supply Cluster Caps the Upside
The strong resistance zone is evident on the Cost Basis Distribution Heatmap. This metric identifies the price levels where the largest volumes of XRP were last exchanged, thereby showing areas of significant supply.
The densest cluster is currently between $3.26 and $3.29, where over 1.05 billion XRP have been accumulated.
This zone has limited every attempt at an upside since early August. Even during brief rallies, buyers have struggled to surpass it, reflecting the burden of supply overhead. Until XRP can break above this range, further gains are likely to remain constrained.
Why This Level Matters for the Next XRP Price Rally
Trend-based Fibonacci extensions support this analysis. The 0.786 retracement line aligns almost perfectly with the $3.29 level, confirming it as the pivot point that must be breached.
If the XRP price achieves a decisive breakout (where a complete candle closes above), immediate upside targets would appear at $3.43 and the previous all-time high of $3.65. A stronger push could pave the way toward $3.84.
There is precedent for such a movement. XRP bulls have regained control of the price for the first time in nine days, evidenced by the developing green candle.
In early August, after bulls briefly took over momentum, XRP surged from $2.90 to $3.33 within several sessions. A similar reaction could follow, pushing the XRP price closer to the $3.29 barrier.
Until then, whale accumulation may continue to support the price from below, but the rally remains restricted by supply above.
Furthermore, if whales become frustrated and start selling, the XRP price may then seek support around the $2.78 level. A breach below it would nullify the bullish outlook.
The post XRP Price Rally Hinges on Breaking This Key Resistance Zone appeared first on BeInCrypto.
