XRP faces $3.18 test after whale transfer – Is a rally to $3.60 next?

Key Takeaways

Why are traders watching XRP closely now?

Whale inflows to Coinbase raised short-term liquidity concerns, but XRP’s repeated retests of $3.18 resistance suggest a breakout is more likely than rejection.

What signals show rising market interest?

Open Interest surged to $9.03B, reflecting strong speculative demand ahead of XRP’s next major move.

A large transfer of 16.48 million XRP [XRP], valued at over $50 million, from an unknown wallet to Coinbase has caught traders’ attention. 

Historically, whale inflows to exchanges often precede heightened volatility as large holders seek liquidity. Market participants now speculate whether this move signals a potential sell-off. 

While inflows do not always lead to immediate downward action, they tend to create uncertainty.

This concern is amplified by XRP’s position near resistance levels, making the timing of such inflows particularly impactful for short-term price direction.

Is XRP finally ready?

XRP trades close to the upper boundary of its descending channel, testing the $3.18 resistance level with momentum building.

The broader pattern has kept the token restricted for weeks, yet repeated retests have gradually weakened resistance. 

Support remains firm near $2.97, giving bulls a clear line to defend. A confirmed breakout above $3.18 could open the path toward $3.37 and possibly $3.60. 

However, failure to clear resistance may extend consolidation. This price action leaves traders watching closely for confirmation of a long-awaited breakout.

Source: TradingView

Cautious market positioning

Spot taker CVD continues to highlight strong sell-side activity, reflecting pressure from aggressive market sellers. This trend suggests traders prefer selling into strength rather than sustaining buying momentum. 

Such conditions often precede either extended corrections or heavy liquidity hunts before rebounds. 

However, while selling remains dominant, the persistence of these flows aligns with the cautious stance reflected in broader sentiment. 

The metric underscores how despite potential breakout opportunities, skepticism persists among short-term players. This caution contributes to a mixed outlook that balances risk against opportunity.

Source: CryptoQuant

Speculation is heating up

Open Interest for XRP Futures has surged to $9.03 billion, marking a 5.44% daily rise and signaling an uptick in leveraged demand. 

Rising OI during consolidation usually indicates traders are positioning for a significant move.

Bulls may see this as confidence building ahead of a breakout, while bears may argue it signals growing short positioning. 

Either way, higher leverage adds volatility risk as liquidation clusters form. The interaction between OI growth and technical resistance could set the stage for a sharp market reaction soon.

Source: CoinGlass

Will XRP confirm its breakout or retrace lower?

Despite whale inflows raising concern, XRP shows stronger signs of resilience as it pushes against the $3.18 resistance. 

The repeated retests of the descending channel ceiling, combined with firm support at $2.97 and rising Open Interest, favor a breakout scenario.

While taker-sell dominance reflects lingering caution, the overall setup leans bullish. 

Unless a sudden surge of sell pressure materializes, XRP is positioned to clear resistance and target $3.37, potentially extending momentum toward $3.60 in the near term.