XRP, Whales Fully Buy Amid Altcoin Slump...Countdown to $2 Direct

▲ XRP

An analysis suggests that the virtual asset market has entered a so-called ‘calm before the storm’ phase, anticipating a massive price surge as capital inflows into XRP spot Exchange Traded Funds (ETFs) accelerate.

According to Benzinga, a financial and cryptocurrency media outlet, on September 26 (local time), XRP showed a relatively sluggish performance compared to other major altcoins this month. However, it is now showing strong signs of a rebound due to continuous spot ETF buying from institutional and individual investors. The XRP spot ETF recorded a net inflow of $22.6 million on Friday, September 25, marking its fourth consecutive day of net inflows. With over $117 million in additional assets recently, the cumulative net inflow has reached $1.8 billion. The current assets under management (AUM) have surpassed $1.7 billion, and if the current trend continues, it is expected to soon break the $2 billion milestone.

Bitwise XRP ETF is driving this ETF capital inflow, having absorbed $647 million in assets. Franklin Templeton's XRPZ and Canary Capital's XRPC are also following as top funds, accompanied by an increase in accumulation activity by whale investors. This trend aligns with the strong capital inflows into Bitcoin (BTC) spot ETFs, which increased by over $2.4 billion this month, and Ethereum (ETH) and Solana (SOL) spot ETFs, which surged by $877 million and $264 million, respectively.

The improvement in the fundamental strength of the on-chain and derivatives ecosystems is also evident. The total market capitalization of the stablecoin RLUSD has exceeded $2.4 billion, and the issuance of RLUSD based on the XRP Ledger has also surpassed $1.1 billion. Demand in the futures market has also surged, with XRP futures open interest soaring to $3.6 billion, its highest level since January this year. This simultaneous accumulation of buying demand across both spot and futures markets is seen as the underlying factor supporting a price surge.

Technical indicators are on the verge of forming a golden cross, where the 50-day Exponential Moving Average (EMA) crosses the 200-day Exponential Moving Average. This would be the first golden cross on the XRP chart since the massive short squeeze in November 2024. Market experts predict that if a strong upward breakout occurs, given that XRP is firmly holding above the Supertrend indicator, the uptrend could extend to the psychological resistance level of $2, which is approximately 30% higher than the current price range.

[Article Key Summary]

-XRP spot ETF net inflows reached $1.8 billion, nearing the $2 billion total AUM milestone.

-Futures open interest surged to $3.6 billion, the highest since January, and RLUSD on XRP Ledger exceeded $1.1 billion.

-With the first golden cross since November 2024 imminent, a 30% surge towards $2 is projected.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*