XRP drops 9% as whales buy 170 million coins: Is this a sign of a price bottom or a precursor to a rebound?

XRP0,49%

February 24 News: Although XRP prices have recently been under pressure, declining about 9% in stages, on-chain fund movements show clear signs of divergence. Large holder addresses and institutional investors have continued to buy during the pullback, sparking market attention on XRP’s potential bottoming and rebound.

Data shows that since February, XRP has been constrained by a downward trend resistance level, with short-term momentum remaining weak and market sentiment turning cautious. However, on-chain indicators reveal that XRP’s current market price is below its intrinsic value, which usually indicates most holders are at a loss. Historically, when prices fall below actual cost ranges, it is seen as undervalued, attracting medium- to long-term capital.

In terms of capital flow, institutional investors remain active. As of the week ending February 20, net inflows from institutions reached about $3.5 million, totaling $105 million for the month, which is notable amid widespread capital outflows from mainstream cryptocurrencies. These funds tend to be strategic rather than speculative, helping to strengthen market liquidity and price support.

Meanwhile, on-chain whale addresses (holding between 10 million and 100 million XRP) have accumulated over 170 million tokens in the past week. Notably, this concentrated buying occurred during a price decline, signaling large holders’ confidence in the medium- to long-term value. Historical experience suggests that synchronized accumulation by whales and institutions often reduces circulating supply pressure and creates conditions for subsequent price recovery.

Price-wise, as of press time, XRP is around $1.32, still unable to break through the downward trend line formed earlier this month. The resistance near $1.36 has become a short-term obstacle, while key support levels are at $1.28 and $1.21. Under macro pressure from Trump’s push to raise global tariffs to 15%, volatility in risk assets has increased, and short-term movements remain influenced by external sentiment.

If market risk appetite recovers and whale accumulation along with institutional inflows continue, XRP may gradually repair its structure. Once it effectively breaks through the key resistance at $1.47, the bearish technical structure will be broken, and the market may reprice its upside potential.

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