XRP Rally Could Slow Down: What Analysts Are Watching
Date: 2025-07-24 Author: Henry Casey Categories: CRYPTO PAYMENTS
XRP has increased by about 72% in the last month, driven by Bitcoin’s new record and general optimism in the altcoin market. Despite this impressive growth, experts are warning of the risks of an imminent correction. In particular, two key on-chain indicators are showing warning signs that could indicate the bullish momentum is about to fade.
The first signal is related to a sharp increase in XRP reserves on major centralized exchange Binance. According to CryptoQuant, on July 22, the number of Ripple tokens on the exchange’s accounts reached a one-year high of about 2.98 million coins, which at current prices exceeds $10 million. An increase in such reserves usually means that token holders are transferring them to exchanges, likely for the purpose of selling. If the market demand is insufficient, selling pressure may cause the XRP price to fall.
The second worrying point is the behavior of futures traders. The taker buy/sell ratio of Ripple on the futures market has been consistently below 1 since the beginning of July and is currently around 0.94. A value below one indicates the predominance of sellers. This means that despite the price increase, futures players are actively selling off positions, which reduces the overall bullish sentiment and increases the likelihood of a correction.
XRP is currently trading around $3.47, which is slightly below the historical maximum of $3.66. If selling pressure increases, there is a possibility of a short-term pullback to the support level in the region of $3.22. If this support does not hold, the price may fall even lower - to $2.87. On the other hand, if the market sentiment improves and demand resumes, the coin will be able not only to return to its maximum, but also to overcome it.
Thus, despite the impressive rally, current market data shows signs of caution. Investors are advised to closely monitor changes in exchange reserves and futures trading dynamics to react in a timely manner to possible fluctuations in the XRP price.
