After a significant transfer worth over $1 billion from Ripple’s escrow account, the XRP price has seen its largest daily return since December 2nd, rising by 11.92% on January 1st, 2025.
Ripple Moves 500M XRP from Escrow
According to onchain data, Ripple transferred 500 million XRP tokens from its escrow account to another Ripple-owned wallet. The transaction included a note that has caught the market’s attention: "January 20th is around the corner. Donald Trump will be in the WH, and we are going to make crypto great again!"
Catalyst for XRP’s Bullish Breakout
This note likely acted as a catalyst today, given XRP’s history of being one of the top performers since Donald Trump’s election win in November 2024. The market’s attention was drawn to this transaction, which may have contributed to XRP’s price increase.
XRP Futures Market Flips Bullish
The XRP futures market has flipped bullish on the first day of 2025. After a 54% drop in open interest (OI) in December, the crypto asset’s OI jumped by 25% over the past two days.
Open Interest Statistics
- Data from CoinGlass indicates that open interest increased from $1.86 billion on Dec. 31 to $2.37 billion on Jan. 2, 2025.
- These new positions opened over the past two days are possibly long, contributing to XRP’s positive rise.
Short Liquidations Fuel Bullish Breakout
Short liquidations have been at their highest since December 20th, with over $15 million wiped out over the past 24 hours. XRP short liquidations were also the third largest liquidated crypto asset, fueling XRP’s bullish breakout.
Exchange Reserve Statistics
- After a flash rise in the XRP exchange reserve at the beginning of December, the supply on Binance decreased from 2.97 billion to 2.90 billion during the final week.
- This indicates that spot buyers possibly bought the dip as XRP price corrected from $2.25 to $2.00.
Key Resistance Levels to Watch
On longer timeframes, XRP maintains a bullish market structure on the daily and weekly charts but price fluctuations can be expected in the medium term.
Symmetrical Triangle Pattern
- As shown below, XRP oscillates within the trendlines of a symmetrical triangle pattern without a confirmed breakout.
- A key resistance range between $2.50 and $2.60 may cap XRP’s rise.
Resistance Range Confluence
This particular level has acted as a key reversal point after XRP reached a yearly high of $2.90 in 2024, with XRP failing to convert it into a support level.
Triangle’s Descending Trendline
- Currently, this range is confluent with the triangle’s descending trendline, which the XRP/USD pair might fail to break again.
- A daily candle close of $2.60 would confirm a bullish breakout above this key trendline, leading to new yearly highs above $3 or a 26% gain.
Support Levels
Conversely, a drop to $2.10, where a daily order block is present, may hinder immediate bullish price action. A daily close above $2.30 will retain investors’ confidence, but a close below $2.30 might usher in another period of profit-taking.
Disclaimer
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
