- XRP is trading around $3.07 with daily volume up 125% to $7.89B, pushing market cap to $182.6B.
- Around 94% of XRP supply is in profit, reflecting strong sentiment but also a risk of profit-taking.
- The $3 support zone is crucial, with a hold signaling upside potential and a breakdown pointing to deeper losses.
Ripple’s XRP has entered a crucial phase after reclaiming the $3 level. On-chain data shows that nearly 94% of the circulating supply is in profit, one of the highest levels in its history.
Such profit saturation reflects strong market sentiment, but it also raises concerns that some holders may begin taking gains, increasing the risk of near-term selling pressure.
This increased activity displays renewed institutional and trader interest, but analysts temper the enthusiasm that such liquidity influxes may maintain the rally or spur a pullback if the $3 level is broken.
XRP Bulls and Bears Split at $3
Charts indicate that the token is consolidating near the support area of $3.05. A durable breakdown below it could unleash the token on downside targets at $2.60 and potentially at $2.00. A breakthrough above $3, in contrast, could restore bullish momentum and pave the way toward higher regions.
Market observers are still divided. Ali Martinez has issued downside risk warning after XRP fell below support, while strategists believe there is room for a prolonged rally if resistance areas are broken convincingly.
With the majority of holders in profit and price holding up at a critical support, XRP is at a junction. Further movement relies on whether buyers hold the $3 level or permit an extended correction.
Current price of the token is around $3.07, buoyed by a sudden spike in activity. A 125% jump in 24 hours has seen the daily trade volume shoot up to $7.89 billion, driving the market capitalization of the asset up to $182.6 billion.
Also Read: From Payments to Profits: XRP Holders Tap Into Lucrative DeFi Yields
