XRP Price Explodes: Bullish Technical Analysis Targets $3.66
Why is the XRP price making headlines today? Investors are buzzing after XRP saw a significant jump, catching the eye of the broader cryptocurrency market. This move isn’t happening in isolation; it’s tied to several interesting factors converging right now.
Why Did XRP Price Jump Today?
XRP’s recent price surge is driven by a mix of macroeconomic sentiment, ongoing investor behavior, and favorable chart patterns. Specifically, three key elements appear to be pushing XRP higher:
- **Risk-On Sentiment:** A teased major trade deal announcement from US President Donald Trump involving the UK boosted confidence in global markets, including cryptocurrencies.
- **Whale Accumulation:** Large holders of XRP, often called ‘whales,’ have been steadily increasing their positions, signaling strong belief in future price appreciation.
- **Technical Breakout:** XRP’s price has broken above a critical resistance level on its price chart, suggesting potential for further upside based on technical analysis.
On May 8, XRP price gained 7.50%, hitting an intraday high of $2.27. This mirrored gains across the crypto market, partly influenced by the positive reaction to the trade deal news which also saw traditional markets like S&P 500 futures rise.
Ripple’s XRP Benefits from Global Market Sentiment
The proposed trade deal between the U.S. and the UK, aiming to lower tariffs, created a positive mood among investors, encouraging them to take on more risk. This ‘risk-on’ environment is often beneficial for assets like cryptocurrency. XRP’s correlation with the S&P 500 index has been noticeable, standing around 0.54 on May 8, indicating that moves in the stock market can influence XRP price.
Significant Whale Accumulation Supports XRP Price
Data from Glassnode shows a consistent trend: the number of addresses holding 10,000 or more XRP tokens continues to climb. This suggests that large investors, or whales, have been buying XRP, particularly during price dips. This steady whale accumulation indicates confidence in XRP’s long-term prospects. Factors like potential positive outcomes in Ripple’s legal case with the SEC and speculation around a spot XRP ETF could be fueling this buying activity among the wealthiest XRP holders.
XRP Technical Analysis Points to Potential Gains
From a charting perspective, XRP’s recent move is significant. The price broke above a downward-sloping resistance trendline that had been in place since January 2025. This breakout confirms a bullish pattern known as a falling wedge. Technical analysis suggests that breaking out of this pattern can lead to substantial price increases. Chartists are now eyeing targets around $2.80 and potentially as high as $3.66, calculated based on the wedge’s structure. The key support level to watch is $2.20; holding above this level is crucial for maintaining bullish momentum. A drop below $2.20 could see XRP test the 200-day EMA near $2.00. A more significant decline below the wedge’s lower trendline, around $1.80-$1.85, would invalidate the bullish outlook.
What’s Next for XRP Cryptocurrency?
The combination of positive global sentiment, continued whale accumulation, and a confirmed bullish technical pattern paints an optimistic picture for XRP price in the short term. While potential targets like $2.80 and $3.66 are on the horizon based on technical analysis, it’s important to remember that the cryptocurrency market is volatile. Keeping an eye on the key support levels, especially $2.20, will be vital for traders and investors monitoring XRP’s trajectory.
Yashu Gola is the author of this article. This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
