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The $2 billion threshold is reached in 24-hour trading volume as the XRP price defends its $0.35 support

If XRP breaks through the bottom of the bearish pennant formation, declines can reach $0.30.

Photo by Jason Leung / Unsplash

The price of XRP maintains its position above $0.35 as bulls battle a bearish pennant formation. Despite market uncertainty, whales are purchasing cheaper XRP coins. If XRP breaks through the bottom of the bearish pennant formation, declines can reach $0.30.

The current situation

The price of XRP (1) must break through $0.38 to resume its upward trajectory toward $1.00. After the cryptocurrency market lost money again due to the FTX issue fallout, the price of XRP is now printing its first green 12-hour rising candle. The traded volume for the seventh-largest cryptocurrency increased dramatically during the past day, rising to a little over $2 billion.

However, most of this volume drove the price of XRP down due to worries about hackers who stole $600 million from FTX, mostly in Ethereum. The "FTX drainer" has been switching and shifting currency from one blockchain to another since Saturday. The amount that is now bridged to renBTC is about $72.9 million.

What investors must look for

As investor risk appetite progressively increases, the price of XRP rises. The XRP price is rising, and part of the reason might be that investors are again favoring the cryptocurrency, especially now that a huge volume of holders are swarming to buy the token. Compared to a 30-day low of 6.27%, addresses owning 1,000,000 to 10,000,000 tokens now possess 6.75% of the total supply of XRP.

If this week's Market Value Realized Value (MVRV) profit/loss model remains below the mean, investors will probably keep purchasing XRP. the first phrase suggests that many may still be "out of money." The ratio had improved since November 9, when it reached a low of -25.56%, but XRP is still in the purchase range at a level of -11.52%.

When the MVRV falls below 1, investors frequently cling to their holdings rather than sell them at a loss. Some holders sell their bags at a profit when the price rises by doing so when the ratio rises above 1.

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The value of XRP defends vital support

Despite the price dip, the whales in the XRP ecosystem (2) have not changed. They maintain the XRP price, like the support at $0.3500, by creating purchasing pressure. The price of XRP is at $0.3570 and has produced a 12-hour bullish candlestick. Bulls, against all the odds, As shown in the chart below, hold the support at $0.3500 and prevent the breakout from a bearish pennant formation. After a big, abrupt price downturn and a brief period of consolidation, bearish pennant formations develop.

Before lowering the price, sellers take a moment to collect themselves. As a result, if confirmed, the price of XRP may retest support near $0.3000 before making another effort at recovery. The Moving Average Convergence Divergence (MACD) indicator is set to flash a sell signal, thus the XRP price is still not out of the woods. Before executing their trades, traders intending to short XRP must wait for the 12-day Exponential Moving Average (EMA) to pass below the 26-day EMA (in brown).