XRP has been attempting a recovery recently, showing positive price movement. The surge is fueled by a shift in investor sentiment, with many holders now taking a more bullish stance toward the altcoin.
This change is likely to drive the price higher, possibly targeting the $3.00 mark.
XRP Holders Seem Bullish
Active addresses on the XRP network have remained notably high throughout March, signaling increased investor engagement averaging at 363,000. This consistent activity is a clear indication that investor sentiment has shifted positively compared to January and February.
The growth in active addresses reflects stronger support for the altcoin as more participants continue to engage with the network. As the demand for XRP increases, this heightened engagement could push the price to higher levels.
The Chaikin Money Flow (CMF) indicator shows a clear shift in investor behavior. While March began with significant outflows, the trend reversed as investors poured money back into XRP. This positive change comes after a month of outflows in February, reflecting a shift towards accumulation.
As market conditions fluctuate, XRP investors have shown resilience, continuing to buy into the asset despite external volatility. The increase in capital inflows suggests that the market is stabilizing, with XRP gaining support from those confident in its future. This shift in momentum offers XRP room to grow and continue its upward trajectory.
XRP Price Faces Resistance
XRP price is trading at $2.48 today, marking a 22% increase over the last ten days. The altcoin is now testing the resistance at $2.56, a level it has struggled to surpass in the past. Given the positive market sentiment and increased investor participation, XRP could break through this barrier.
If XRP manages to flip the $2.56 resistance into support, the next target will be $3.00. Overcoming the $2.95 resistance would pave the way for further gains, with the price potentially climbing towards the $3.00 mark. The current bullish momentum supports this outlook as investors appear ready to push the price higher.
However, if XRP fails to breach the $2.56 resistance, it could face a pullback to $2.27. Losing the support at $2.27 would invalidate the bullish outlook, sending the price down to $2.14.
Disclaimer
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