XRP Rising: Smart Money Is Building Positions and a Bullish Trend Is Forming
Date: 2025-08-01 Author: Gabriel Deangelo Categories: CRYPTO PAYMENTS
The XRP price has been fluctuating in a narrow range in recent days, stabilizing after reaching a monthly high of $3.65 in early July. Since then, the token has fallen by about 14%, and has shown minor growth over the past week. Such a pullback makes traders cautious, but some indicators indicate a possible strengthening of the asset's positions.
An important signal for assessing the prospects of XRP is the Chaikin Money Flow (CMF) indicator, which shows the direction of money flows - inflow or outflow of capital. Between July 20 and 26, CMF formed higher lows, despite the price decline from $3.60 to $3.13. This indicates that large token holders bought XRP on declines, accumulating assets despite the price drop. Currently, the CMF value is around 0.15, and for XRP to start a confident growth, it needs to break this level and form a new high, which would indicate increased buying pressure and possibly lead to a bullish breakout. Simply put, the “smart money” is gradually increasing its positions, but is waiting for stronger confirmation to break out of the current price corridor.
The data on token transfers to exchanges also confirms the decrease in selling pressure. In July, the volume of XRP inflows to trading platforms was relatively low, with the exception of a surge on July 11, when more than 220 million tokens entered the exchanges. By July 29, inflows decreased to 9.7 million. Low transfer volumes often indicate a calm market and the reluctance of large holders to get rid of their assets, which reduces the likelihood of sharp price declines.
This situation is combined with a slow but steady improvement in Chaikin Money Flow, showing that interest in selling is low, and demand, although insignificant, is gradually increasing. If this trend continues, XRP could hold its current range and prepare for the next leg of growth.
The two-day chart shows an ascending triangle forming, a classic bullish pattern where higher lows create pressure under the resistance level. A breakout above $3.24 would open the door to a rapid rally to $3.65 and beyond, where there are virtually no serious obstacles. However, if the price falls below the $2.95-$2.99 support zone, the short-term optimism could fade.
Thus, the current data suggests that large investors are actively buying XRP, which sets the stage for a possible price increase if the market breaks through key resistance levels. This could be a signal for new entries and confirmation of the formation of a bullish trend in the crypto market.
