XRP Soars 32%, Hits a 7-Month High: Can Price Rally to a New All-Time High?

Key Insights

• XRP surges 9% to reach a 7-month high of $3.33

• XRP is recording significant bullish sentiment from whales and retailers

  
  

Ripple's XRP entered a price discovery phase last witnessed in November 2024 and 2017. For the past week, XRP has rallied 32.95% reaching a 7-month high of $3.33. As of this writing, XRP traded around $3.31, representing a 9.36% increase in 24 hours. 

With these massive gains, the altcoin's market cap rose to $196 billion, closing $200 billion. In terms of market value, it's only behind Ethereum [ETH] and Bitcoin [BTC]. Currently, XRP has turned out as one of the most established altcoins and it seems the altcoin has a more room for growth.

Can price XRP rally to a new all-time high?

XRP Recording Massive Capital Inflow 

According to EMCryptohub analysis of Cryptoquant, XRP Open Interest surged to $3.1 billion levels last witnessed in January 2025. 

When Open interest rises like this, it suggests that more traders are opening positions, resulting in increased capital flow. 

Source: Cryptoquant

In most cases, it shows speculation and conviction among investors. With prices rising while open interest is also increasing, it suggests that traders are cashing out of the market, a significant sign of FOMO. On the other hand, it also suggests strong bullish sentiment.

Most of times, investors rush into the market to open futures positions and a rise in open interest could mean either longs or shorts.

Regardless of which side ,it signals massive capital inflow into the ecosystem signaling active network usage.

Also Read: Can Ethereum rally to a new high?

Bullish Sentiment Dominates the Market 

In a strong uptrend, XRP is experiencing strong bullish sentiment from all market participants, including both whales and retailers. For example, whales have shown strong conviction in the market for the past week. 

Source: Cryptoquant

According to Cryptoquant data, the Whales to Exchange Flow has decreased to only 2,000, indicating a lack of selling activity from large holders. Therefore, XRP whales are holding strong, probably awaiting the next gains. Whales are smart money and are not emotional traders thus, their actions have significant impact on prices.

Source: Cryptoquant

The same can also be said about other participants, as the exchange inflow is down to only $31 million worth of XRP. A low inflow means traders are now holding their tokens and are not selling, indicating a high level of market conviction. 

Those investors are keeping their XRP tokens in private wallets or cold storage. As such, they are keeping awaiting more gains reflecting strong bullish sentiments.

Can XRP Price Rally to $4?

After breaking out from recent consolidation, XRP is strong enough to attempt a strong uptrend. Currently, the only resistance lies around $3.4, and it's insignificant.

Source: Tradingview

A move above $3.5 will see XRP retest its previous ATH around $3.84 and make another high to $4. For now the market depends on what happens to the broader crypto space. If Bitcoin continue rallying, so will XRP and other altcoins. However, if markets correct, XRP will also retrace.