25% Rise to All-Time High or Reversal?
XRP has gained 424% in the past 4 weeks and is close to an all-time high (ATH) of $3.31. This sharp increase has attracted widespread attention and indicates the potential for further gains.
However, as XRP approaches its peak, some bearish factors are emerging, making its path to new highs more uncertain.
XRP faces challenges
Ripple’s market Sentiment has shown some worrying signs, particularly the average coin age indicator, which has been declining. When the average token age decreases, it usually indicates that investors are moving their holdings rather than holding on to them for the long term. This lack of conviction is often viewed as a bearish sign, as it suggests investors may be preparing to exit their positions.
An increase in the average coin age usually signals strong holding behavior, indicating investor confidence in the asset’s future growth. However, XRP’s current trend suggests a shift in sentiment, with more investors trading rather than holding. If this trend continues, it could indicate that XRP is approaching a price peak as more market participants seek to take profits.
Macro Momentum for XRPWhile positive, it is starting to show signs of saturation. Currently, XRP’s total supply accounts for over 98% of profits, which traditionally indicates that the market is near a top.
When more than 95% of supply is in the black, it is often taken as a sign that the market may be close to running out of upside momentum. Historically, such high profit saturation has resulted in market peaks and prices beginning to decline after a long period of growth.
The high ratio of XRP supply to profits suggests that many holders are in a profitable position, which could ultimately lead to a wave of profit-taking. This selling pressure, coupled with bearish market sentiment, suggests that the uptrend may have reached saturation point.
XRP Price Prediction: Targeting ATH
Ripple price It is just over 25% away from reaching an all-time high above $3.31. The recent price surge has brought optimism for further growth, but the road to ATH may not be smooth. Resistance at key levels could slow XRP’s rise, with traders watching for signs of a breakout or reversal.
If bearish factors continue to increase, such as the average coin age falling and investors taking profits, Ripple possible Work hard to hit your ATH. In this case, the altcoin could face a pullback that tests support at $2.00 and could reverse its recent gains.
However, if the bullish momentum continues, XRP may surpass its ATH and form a new price ceiling. The key support level to watch is around $2.00, which could act as a buffer against sudden price drops. As long as XRP remains above this level, a new ATH remains within reach.
Disclaimer
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