XRP is experiencing a real resurgence. After months of uncertainty, Ripple's token is trading above $2.20

XRP is quickly becoming one of the best-performing major cryptocurrencies in 2024. After months of languishing in a narrow range, the cryptocurrency is back in the limelight, with its price surging above the $2.20 mark.

This resurgence can be attributed to a confluence of favorable factors, setting the stage for potentially explosive gains in the coming months.

Technical Structure Fuels Momentum

Technical signals are clearly piling up in favor of a continued bullish run for the XRP price. Notably, the price remains steadfastly anchored above the 50 and 100-day exponential moving averages (EMAs), a testament to the sustained bullish trend.

The Bollinger Bands are showing signs of compression, which is often observed as a prelude to increased volatility. Meanwhile, the MACD has remained in positive territory since April 12, further reinforcing the bullish sentiment.Chart patterns such as a descending wedge and an inverse “head and shoulders” are emerging, suggesting a possible acceleration to higher levels. Immediate targets are at $2.50 and $2.80, with a major target at $3.40, corresponding to the year’s high.

XRP Whales Charge, Building Pressure

The activity of major investors, or “whales,” is particularly noteworthy. Over the past month, approximately 900 million XRP have been massively accumulated by wallets holding between 10 and 100 million tokens, amounting to a value close to $2 billion.

This behavior is indicative of large institutions or entities making significant moves in the XRP market. The sheer magnitude of these accumulations is evident, considering that at current prices, 1 billion XRP translates to approximately $2.2 billion.

The sustained buying pressure at these levels reduces the likelihood of a drop below the $2.00 support. Moreover, the growing interest of whales in XRP reflects renewed confidence in the token’s potential, especially in anticipation of major upcoming events.

XRP ETF Approaching And Institutional Ambitions

Optimism about the approval of a spot ETF for XRP is steadily rising. Since Paul Atkins was appointed head of the SEC, the chances of approval have increased from 65% to 85% over two months, according to Bloomberg analysts and Polymarket bettors.

This evolving outlook has attracted the attention of institutional investors, who are preparing for an influx of capital into XRP if the ETF is approved.

Moreover, Ripple USD (RLUSD), the stablecoin developed by Ripple, is showing remarkable growth, with its market cap now exceeding $330 million.

Standard Chartered, a leading financial institution, foresees a scenario where XRP could escalate to six times its current value, pushing its market cap above $600 billion. In comparison, this would place it among the world’s five largest publicly listed companies.

An ETF approval could bring up to $8 billion in annualized inflows into the crypto market, according to estimates by Grayscale, a major digital asset firm.

Between favorable technical signals, strategic accumulation by whales, and encouraging regulatory prospects, XRP appears poised for continued gains. This renewed interest in XRP fits into a broader context of crypto market dynamism, illustrated by Bitcoin’s recent surpassing of $97,000, bringing it closer to the symbolic $100,000 threshold.