XRP (XRP) Experiences Increased Short-term Trading Activity

Recent data from blockchain analytics firm Glassnode reveals that XRP is experiencing increased short-term trading activity, which might be influencing the cryptocurrency’s price movements.

The past seven days have seen a substantial rise in short-term investment inflows, commonly termed “hot capital,” which is used mainly for speculative trades and keeps digital assets in hand for fewer than seven days.

According to Glassnode’s weekly heatmap, “hot capital” flows into XRP went up from $0.92 billion on April 20 to $2.17 billion on April 28, which is an increment of 134.9 percent in less than a week. However, even with the recent jump, XRP’s weekly inflows are still lower than its previous peak of $7.66 billion, which was reached in December 2024.

The rise in “hot capital” is also evident in the Realized Cap by Age chart, which shows an increase in the darker shaded regions, indicating new holdings.

At press time, XRP was trading at $2.24, showing a 2.19 percent decrease in the past 24 hours and a 1.35 percent decline over the last week, as per CoinGecko.

Over the past few weeks, XRP has been moving around the $2 level, rising slightly during periods of buying interest and then falling again as the market sells off.

Its trading range for the past 24 hours was between $2.22 and $2.30, while its price range for the past week spanned from $2.13 to $2.33. The asset’s price touched a high of $2.36 on April 28 before it fell again and is now sitting at the $2.28 mark.

Analyst Edoardo Farina of XRPHealthcare noted the consistent drop to the $2.20 mark, adding that “XRP will not stay at the $2.2 region forever.”

In changing market conditions, he suggested that current price zone may give way to stable upward trend.

Technical Patterns Indicate Potential Breakout

Meanwhile, crypto chart analyst EGRAG CRYPTO shared a long-range analysis of XRP’s price using monthly candle patterns, highlighting that the asset is now forming its fifth consecutive candle above the 21-month EMA—a level previously linked to major upward movements.

Referencing a past instance where a sharp rally followed the sixth candle, the analyst stated, “With Candle 5 now in place, we may be approaching a strong monthly breakout if the same trend unfolds.”

In this model, XRP is said to be inside a long-term price channel, referred to as the “MACRO CHANNEL,” with upper price targets at $17, $27, and a possible move to $55 if the full breakout plays out.

However, the analyst mentioned a plan to sell gradually as the price rises, with $27 being a personal focus level.

Regulatory Developments May Influence Market Direction

Lastly, regulatory XRP news continues to play a role in XRP’s market sentiment.

On April 30, the U.S. SEC delayed its decision on the XRP ETF application from Franklin Templeton.

In this context, these delays bring uncertainty into the market, as investors postpone their investments waiting for more.

The SEC’s decision is being watched closely because an ETF approval could lead to increased institutional involvement in XRP. Nevertheless, the nervousness on the part of investors may last in the short term due to the delay.

The token’s total circulating supply is 58 billion with a total market capitalization of about $130.7 billion, ranking it among the highest digital assets by total market cap.