XRP’s Six-Year High of $2.50 — What Made It Happen?

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As a seasoned researcher who has navigated through the turbulent seas of cryptocurrency markets for over a decade, I must admit that the recent surge of XRP has caught my attention like none other. This seven-year high is reminiscent of the 2017 bull run, a time when I was still using a rotary phone and blockchain technology was a mystery to most.

Today, the value of XRP has experienced a significant spike, peaking at $2.50 during this trading session – a level not reached since January 8, 2018. This impressive seven-year high has piqued the interest not only among crypto enthusiasts but also within the broader market.

Based on data from the analytics platform Santiment, it appears that the increased holding of large investors (whales) could be a factor driving this recent price increase for XRP. The combined buying by both whales and smaller retail holders may have played a significant role in reaching these new highs not experienced since January 2018 for XRP.

🚀 The value of XRP has soared to a staggering $2.49 market price for the first time since January 8, 2018. This six-year (almost seven-year) record high is significant as wallets containing between one million and ten million XRP have amassed approximately 679.1 million tokens (equivalent to $1.66 billion) over the past three weeks. Additionally, the total number of non-empty XRP wallets has…

— Santiment (@santimentfeed) December 2, 2024

Santiment observed that the current six-year or almost seven-year peak for XRP is significant because wallets containing between 1 million and 10 million XRP have amassed a total of around 679.1 million tokens within a three-week span. The value of this accumulation is currently estimated to be about $1.66 billion.

As per Ki Young Ju, CEO of CryptoQuant, it appears that large investors on Coinbase could be responsible for the recent increase in XRP prices. Over the past month, during this surge, the price difference between a minute’s worth of transactions on Coinbase has varied from a 3% to 13% premium. In contrast, Upbit – a Korean exchange with a higher number of XRP investors than Binance – has not shown any notable premium yet.

There’s been a surge in activity among XRP wallets. For the first time in its eight-year history, the number of active XRP wallets has surpassed 5.5 million. In just over two weeks since November 9th, an additional 119,820 active XRP wallets have been created.

As a crypto investor, I’ve noticed a trend lately: more money is being shifted from Bitcoin into other digital currencies. Since November 21, Bitcoin’s dominance, which measures its share of the entire cryptocurrency market, has dropped from 61.5% to 56.5%. Intriguingly, at the moment I’m writing this, XRP is surging, up by 20.36% within the last 24 hours to $2.32 and a robust 54% over the past week.

XRP becomes third largest cryptocurrency in $100 billion rally

After a significant surge worth over $100 billion, XRP has moved past Solana and USDT (Tether’s stablecoin) to claim the position of the third-largest cryptocurrency in the market. On Monday alone, its value jumped by approximately 20%, reaching a price point of $2.50. This upward trend has boosted XRP’s overall market worth to an impressive $139 billion, a substantial increase from its value of less than $30 billion on November 5th.

Since November 28, when it dipped to a low of $1.28, XRP has been on an upward trajectory. If it ends today with a positive close, it will mark its sixth consecutive day of gains. To put this into perspective, XRP started climbing from its low of $0.50 on November 5 and has surged by an impressive 353% in just 30 days.

The significant rise in this cryptocurrency has pushed it past Tether’s USDT, making it the third-largest digital currency globally.

Worldwide, there has been an uptick in XRP trades. In the past 24 hours, Upbit – South Korea’s leading cryptocurrency exchange – recorded a staggering $4.25 billion in XRP-won transactions, marking a new high. Interestingly, this XRP trading accounts for approximately 28.8% of the total trading volume at Upbit according to CoinMarketCap data.

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2024-12-02 15:36