XRP Price Surge: Retail Demand Fuels 22% Rally
The Ripple (XRP) price experienced a significant surge, reaching $2.84 on February 15th—a 22% increase marked by five consecutive days of gains. This rally follows Ripple's decision to drop charges against XRP and the SEC's acknowledgment of an XRP spot ETF filing. However, on-chain data suggests another critical driver: a substantial increase in retail activity.
XRP's Impressive Five-Day Rally
XRP outperformed both Bitcoin (BTC) and Ethereum (ETH) this week, climbing from $2.40 on February 10th to its peak on February 15th. This sustained upward trend boosted XRP's market capitalization above $155 billion. The consistent daily gains strongly indicate robust demand, even as broader market sentiment stabilizes. This sustained upward momentum suggests a potential extended bullish phase.
Retail Demand Drives XRP Ledger Network Activity
While regulatory developments garnered significant attention, on-chain data from CryptoQuant reveals a 39% increase in active addresses on the XRP Ledger—from 24,272 on February 5th to 33,801 on February 14th. This surge in active addresses points to heightened retail investor participation and suggests that the price rally is organically driven, not solely by large-scale movements.
This increased retail involvement strengthens support levels and reduces the likelihood of a sudden price correction. The sustained price increase suggests a firmer foundation than a speculative bubble.
XRP Price Forecast: Potential and Risks
XRP's current price of $2.77 sits within a strong technical uptrend, trading above key moving averages. The 50-day SMA at $2.68 provides immediate support. The VWAP at $2.77 suggests the price is near its fair market value. Maintaining price action above these levels could lead to a retest of $2.84, potentially paving the way for a move towards $3.00.
However, failure to maintain these levels could result in a test of lower support zones. The 100-day SMA (around $2.50) is a critical defense line. A breach below this level might signal a loss of momentum, potentially leading to a retracement towards $2.30.
Disclaimer: This analysis is for informational purposes only and does not constitute financial advice. Conduct thorough research before investing in cryptocurrencies.
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