XRP has rebounded sharply from its monthly low of $1.93 on June 22, climbing to $2.19. This price recovery is accompanied by a notable rise in open interest, which surged to $3.76 billion, signaling increased trader activity and bullish sentiment. Data from Coinglass indicates a 3.11% rise in XRP's open interest over the past 24 hours, suggesting traders are holding positions in anticipation of sustained upward momentum.
Moreover, XRP is experiencing a positive funding rate, indicative of traders paying premiums to maintain long positions. Concurrently, CryptoQuant data reveals a significant outflow of XRP from major exchanges, with reserves dropping by $12.4 billion over the past week. This trend signifies investors are moving coins into long-term storage, reducing market sell-side pressure.
Technically, XRP is approaching its 50-day exponential moving average (EMA). Breaking above this level near $2.34 could enable further rallies towards $2.47. Maintaining price above the critical support zone of $2.09 is vital to uphold bullish momentum and avoid reversal. Momentum indicators such as RSI at 50.15 and a mild positive MACD signal ongoing recovery, while the Chaikin Money Flow (CMF) at 0.18 confirms sustained buying interest.
However, analyst caution remains. The emergence of a head-and-shoulders pattern on the weekly chart highlights a potential bearish reversal if XRP falls below $1.8790. Until such a breakdown occurs, the trend remains bullish. Additionally, recent rallies face challenges from weak volume, implying the move may lack conviction without increased buying pressure.
In summary, XRP's price action reflects growing optimism backed by institutional liquidity shifts and technical support, but sustaining gains depends on volume strength and critical support levels holding firm.