Why is the price of Ripple (XRP) rising today?

TL:DR;

While most of the crypto market is in the red, as is the case with SUI, or with negligible gains, such as BNB and DOGE, Ripple’s native token has been torn apart. But what’s behind this rally to a new multi-week high of just over $2.50? XRPUSD. Source: TradingView

As the chart above shows, Ripple’s native cross-border token plummeted in late December, falling from over $2.7 after the company’s stablecoin launch to a monthly low of $1.96 dollars

It suffered massive volatility in the following weeks, including another dip below $2 on December 30, but managed to recoup most of the losses and even rallied to $2.5 on January 4, 2025 .

Another market-wide pullback followed that took BTC south to a 7-week low, but XRP weathered the correction better this time, sliding another painless 15% to $2.2.

It started its recovery a few days later and jumped to just over $2.5 minutes, which is actually its highest price in almost a month (December 18).

At the same time, BTC is struggling to stay above $94,000, while many other altcoins are quite sluggish on a daily basis.

Perhaps the most obvious reason behind this is the recent increase in whale activity. As CryptoPotato previously reported, XRP whales had spent over $2 billion in two days to amass over a billion tokens, representing a massive supply shock for the asset.

At the same time, analysts remain very optimistic for XRP, predicting substantial price increases and even new all-time highs, especially if it holds the $2.32 support line and conquers $2.5 below.

$XRP: The price continues to hold support and there is some upside momentum. To keep the local uptrend alive, the price should ideally stay above $2.32. $2.50 and $2.72 are the next resistance levels and the context of the chart has not changed. A break above $2.50 is needed as… pic.twitter.com/kcBNrUVSxj

— More Crypto Online (@Morecryptoonl) January 11, 2025

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