Ripple (XRP) price is trading at $0.66 after retracing 13% from a 3-month peak of $0.72 recorded last week.
Strategic corporate investors have been spotted buying 90 million XRP in the last 48 hours, signaling an impending price breakout.
After last week’s rally, XRP’s Relative Strength Index (RSI) has dropped from the overheated territory into the neutral zone.
Ripple’s (XRP) price retreated toward $0.65 after retracing from its 90-day peak of $0.72 attained on November 9. On-chain data reveals that crypto whales have started making strategic moves to force another XRP price rally.
Crypto Whales Have Bought 90 Million XRP in the Last 48 Hours
XRP price hangs in the balance as mega-cap cryptos retreated from last week’s euphoric highs. But as it retreated toward the key support territory at $0.65, on-chain data reveals that a group of strategic whale investors have swooped in to buy the dip.
According to the Santiment chart below, the large investors (wallets holding 1 million to 100 million XRP) had only 8.93 billion coins in their cumulative balances at the close of November 12. But that figure has rapidly increased to 9.02 billion as of Tuesday, November 14.
This shows that the strategic whales have rapidly acquired 90 million XRP coins within the last 48 hours.
Ripple (XRP) Whales Wallet Balance | Source: SantimentThe Whales Wallet Balance metric monitors the real-time changes in the number of XRP coins currently in custody of large corporate investors. When valued at the current XRP price of $0.66, the newly-acquired 90 million XRP are worth approximately $60 million on the market.
Such a large increase in whale investors’ buying activity during a price decline indicates that they are positioning for another price breakout. If the whales continue to buy, XRP price will make an upward move toward the $0.70 area.
The Market Has Shifted From Overheated Zone
As XRP price skyrocketed to a 3-month peak of $0.72, last week, markets overheated. The intense bullish trading activity had sent the Relative Strength Index (RSI) into overbought territory.
As XRP price rose to $72 last week, the chart below illustrates that XRP RSI skyrocketed to 87.93 on November 6. Notably this was the highest since a US court declared XRP “not a Security”, back in July.
However, after a week of consolidation, where XRP bears forced a pull-back toward $0.65, the XRP RSI trend line has now dipped to 61.89, in the neutral zone.
Ripple (XRP) Relative Strength Index data | Source: CryptoWavesThe Relative Strength Index data assesses the strength and momentum of an asset’s current price trend. When the RSI corners below the 70 evel from above, it suggests the asset has now shifted from euphoric overbought territory into a consolidation phase.
Strategic investors looking to avoid buying at the top may interpret this as a good point to enter the market.
XRP Price Prediction: Possible Rebound to $0.80
Having fiercely defended the $0.65 territory, the $60 million whale inflows recorded in the last 48 hours could trigger an upward price movement. The Parabolic SAR (Stop and Reverse) technical analysis indicator also supports the bullish XRP price forecast.
The Parabolic SAR identifies possible reversal points in an ongoing price trend. When it points below the current price of the asset, it signals a bullish momentum and vice versa.
Currently, the XRP Parabolic SAR indicator point at $0.65, which is considerably lower than the current price. This affirms that XRP is still within bullish territories.
If the bulls force an upswing predicted, XRP price could face initial resistance at last week’s peak of $0.72. However, decisive breakout of that resistance zone could see XRP retest $0.80.
Ripple (XRP) Price Prediction | Source: TradingViewOn the flip side, the bears could negate that price forecast if they successfully force a downswing below $0.55. However, the support buy-wall around the $0.65 zone will likely prove daunting.