XRP Price Action Signals Potential Breakout as On-Chain Accumulation Intensifies

XRP has gained nearly 26% since late November, yet the rally has remained subdued by repeated price rejections at key resistance levels. However, recent market dynamics suggest a critical inflection point may be approaching.

On-Chain Outflows Point to Institutional Accumulation

The most compelling evidence for an upside move comes from exchange flow data. Beginning November 19, exchange net positions shifted dramatically negative, with outflows surging from –59.32M to –650.45M tokens within eight days—a near 1000% acceleration. This aggressive withdrawal pattern, occurring while prices remain range-bound, typically indicates large-scale accumulation by sophisticated buyers during consolidation phases.

Technical Structure Favors Bulls

XRP continues trading within a falling wedge formation, a textbook bullish continuation pattern. Support at $2.14 has proven resilient, holding through every sell-off attempt since November 25. Despite a bearish EMA crossover between the 100 and 200-day moving averages, sellers lacked the conviction to drive price below this level—a notable signal of weakening downward pressure.

Volume Confirmation Building

Momentum indicators are shifting favorably. The On-Balance Volume (OBV) line has decisively broken above its descending trendline for the first time since November 10, suggesting genuine buying volume is entering the market. However, full confirmation will require OBV to establish a higher high above the 6.64B mark.

Key Levels and Trading Triggers

The critical breakout level sits at $2.28, which has repeatedly rejected upside attempts since November 17. A clean close above this resistance would open the path toward $2.55 and potentially trigger a complete trend reversal. If the lower support fails, $2.02 provides the next level of defense.

Current market setup: Rising volume, sharply negative exchange flows, and a textbook wedge structure converge to suggest that breaching $2.28 could finally catalyze the next significant move higher.

XRP/USDT Perp: $1.92 | +0.36% (24h)