Here’s XRP’s new support to watch after whales acquire 340 million tokens

As XRP struggles to reclaim the $3 resistance zone, the asset has received a major boost from whales, a notable vote of confidence amid the current bearish market sentiment.

Specifically, on-chain data revealed that whales accumulated more than 340 million XRP in the past two weeks, according to cryptocurrency analyst Ali Martinez’s August 31 X post.

This surge in buying suggests that deep-pocketed investors are positioning themselves for a potential rebound despite the token’s recent price weakness.

XRP key price levels to watch

Meanwhile, another analysis by Martinez identified key price levels to watch for the asset. He noted that $2.76 remains a critical level, having repeatedly acted as a floor for price action over the past month, with buyers stepping in to defend it multiple times.

Holding above this line is key to preventing further downside pressure. If the $2.76 support remains intact, XRP could attempt a recovery toward the mid-range resistance near $3.20. A decisive breakout above that level might open the door to retests of the $3.60 region, where heavy selling pressure capped rallies earlier in August.

On the other hand, a breakdown below $2.76 would likely expose XRP to steeper losses, potentially dragging it closer to the $2.57 area.

Although XRP is trading in tandem with the broader cryptocurrency market, the asset still harbors a major catalyst in the form of potential spot exchange-traded fund (ETF) approval. If approved, the product would likely usher in institutional capital inflows.

Following the conclusion of the Ripple and Securities Exchange Commission (SEC) case, several major asset managers, including Grayscale, Bitwise, CoinShares, and WisdomTree, updated their filings for proposed spot XRP ETFs.

Analysts view the cluster of submissions as a positive step, though approval has not yet been granted.

XRP price analysis

By press time, XRP was trading at $2.82, having rallied about 1% in the last 24 hours. On the weekly timeline, the asset is down 6.2%.

At the current valuation, XRP is trading below its 50-day simple moving average (SMA) of $3.11, indicating short-term weakness; however, it remains above the 200-day SMA of $1.98, which maintains a bullish long-term trend.

Meanwhile, XRP’s 14-day relative strength index (RSI) stands at 41.77, indicating a fading of momentum and a slight oversold position.

Featured image via Shutterstock

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