XRP Price Prediction for December 20, Will the $2.2 Mark Hold?
In this bleeding cryptocurrency market, Ripple Labs’ native token XRP appears to have contained a steep price drop as it holds key support. For XRP, the $2.20 support level plays an important role. The altcoin has reached this level more than four times since December 2024 and has experienced an upward rally each time.
This time, however, the sentiment appears to be similar as prices have started to rise.
Long-term holders increasingly interested in XRP
The current market sentiment seems to be negative as the market has witnessed a huge investment of $1.18 billion. Cryptocurrency Liquidation. This mass liquidation created fear among traders and investors, discouraging them from staying and participating in the asset.
XRP outflows $220 million
Despite concerns, traders and long-term holders appear to be optimistic about XRP as they bought millions of dollars worth of the token during the price drop, according to on-chain analytics firm coin glass. XRP spot inflow/outflow data shows that the exchange witnessed continued significant outflows of $220 million worth of XRP.
Despite the continued price decline, this outflow signals a bullish outlook for XRP as long-term holders still believe in the coin. This explains why exchanges are experiencing massive token outflows.
In the cryptocurrency world, an “outflow” refers to the movement of assets from an exchange to the wallets of long-term holders, signaling a potential upside rally and ideal buying opportunity.
XRP Technical Analysis and Upcoming Levels
According to technical analysis from CoinPedia, XRP appears bullish as the price shows signs of reversing from the key support level at $2.20. Based on recent price action, the altcoin is approaching a buy zone, where it typically experiences upward rallies.
If XRP holds the support at $2.20, then it is very likely to surge 13% to the next resistance level at $2.50 in the near future. On the other hand, if XRP breaks below support and closes below $2.20, we could see XRP drop to $2 or even lower in the future.
Current Price Momentum
At press time, XRP was trading close to $2.30, with the price surging more than 2.70% in the past 24 hours. During the same period, its trading volume increased by 7%, indicating increased participation from traders and investors.
