Is XRP’s breakout coming? Why whale activity holds the key

• XRP consolidated near a key support as whale transfer sparked bullish speculation.
• Leverage rises and long liquidations spiked, signaling growing volatility and overconfidence.

A staggering 300 million XRP, valued at over $629 million, has just been transferred from an unknown wallet to Ripple. This massive on-chain move has sparked discussions about Ripple’s next big play. 

Many believe this transfer could signal a strategic push involving institutional partnerships or internal liquidity adjustments.

Therefore, the timing of this activity raises an important question—is XRP preparing for a major breakout?

Will XRP hold support or break lower?

At the time of writing, XRP traded at $2.11, down 1.39% over the past 24 hours. Price action showed the altcoin consolidating within a defined range between $2.02 and $2.45.

This range has been respected multiple times since January, making these key levels to watch. However, if XRP loses the $2.02 support, it could quickly revisit lower levels, possibly around $1.80.

Additionally, a breakout above $2.45 would likely open the door for a retest of $2.95. This area represents the next major resistance and could trigger a stronger bullish continuation.

Therefore, the current structure shows XRP at a decisive point where direction could soon shift sharply.

Source: TradingView

Are traders overexposing with leverage?

The estimated leverage ratio stood at 0.232 at press time, reflecting a 1.02% increase over the last 24 hours. This uptick meant that more traders were using borrowed capital to amplify their bets.

Such leverage spikes often suggest that traders expect big price movements soon. 

However, it also increases the risk of cascading liquidations during sharp market swings. Therefore, if XRP breaks below $2.02, the overly leveraged long positions may start getting wiped out rapidly.

That could amplify downside volatility and trap late long entries.

Source: CryptoQuant

Do liquidations show bullish or bearish dominance?

Recent liquidation data shows $3.35 million in long positions were liquidated, compared to just $1.13 million in shorts. This imbalance suggests that bulls were overly optimistic and paid the price as XRP dipped. 

Exchanges like Binance, Bybit, and OKX reported significant long liquidations, revealing that bullish leverage dominated. However, large-scale liquidations often occur at local peaks or near critical support levels.

If support fails, even more long positions may unwind, driving further downside. 

Source: Coinglass

Are whales getting ready to sell or just repositioning?

Whale-to-exchange flow rose by 0.43%, with 886 whale transactions recorded. This slight increase shows higher movement from large holders toward exchanges.

While not outright bearish, it aligns with the recent $629 million XRP transfer to Ripple. 

This activity may reflect internal positioning ahead of potential announcements or events. Therefore, whale activity could lead to increased short-term volatility.

Source: CrptoQuant

Is Ripple preparing for a major breakout?

Ripple seems to be positioning itself for a major move. The massive 300 million XRP transfer, combined with increasing whale activity and rising leverage, points to growing anticipation of a breakout. 

However, price must hold above the crucial $2.02 support level to validate bullish momentum.

If that level holds and Ripple delivers a strong fundamental catalyst, XRP could surge toward its next resistance at $2.45 and beyond.