- XRP trades above Bollinger Bands at $2.34, with volume up 30.83%, indicating potential bullish continuation.
- Despite a 46% drop from February highs, XRP’s holder count grows to 6.36M, suggesting strong accumulation trends.
- XRP faces resistance near $2.50–$3.00; failure to hold $2.34 may lead to pullbacks toward $2.05 or even $1.60.
XRP is drawing attention after climbing 7.15% over the past 24 hours, reaching $2.37 on May 9. This recent increase builds on a 29.03% rise over the last month, driven by favorable market factors.
The asset’s market cap is up by 7.03% to $138.63 billion, while trading volume surged by 30.83% to $6.14 billion. These shifts come as investor interest grows amid macroeconomic optimism and legal clarity in the ongoing Ripple lawsuit.
Breakout Momentum Fuels Short Term Gains
A surge in daily trading volume to 144.06 million XRP shows strong participation from the market. The price has broken above all three Bollinger Bands, with the upper band at $2.34.
Bollinger Bands, based on the 20 day simple moving average, place the lower and middle bands at $2.05 and $2.20, respectively. Trading above this upper level suggests bullish strength may be building.
This breakout coincides with a rise in the Accumulation/Distribution line, now at 74.04 billion XRP. Since early February, accumulation has outweighed distribution, reflecting investor confidence.
XRP is also out of a prolonged consolidation phase between $1.80 and $2.20 seen throughout March and April. However, resistance near $2.50 and $3.00 remains a challenge in the short term.
Key Indicators Show Mixed Sentiment
Despite the recent breakout, broader technical indicators point to continued caution. XRP trades below its 50 day and 200 day moving averages, at $2.02 and $2.24, respectively.
These levels now act as strong resistance zones. Price movement also shows a major retracement from the February high of $3.38, a nearly 46% decline. Daily active addresses have dropped to 45,600, down from a peak in March.
This decline shows reduced retail activity and weaker short term demand. However, long term confidence persists, with XRP holders rising steadily to 6.36 million. This growing base continues to accumulate during price drops, according to current on-chain data.
Market Activity Shows Potential May 10 Movement
Market activity and volume changes will be important in XRP’s price action. If buying momentum holds, XRP could retest resistance between $2.50 and $2.60, and potentially target $2.75. This scenario relies on the continuation of accumulation trends and elevated volume levels.
However, failure to sustain above $2.34 may lead to a drop to $2.20 or $2.05. If bearish pressure increases, XRP could slip below $1.80 and test support levels around $1.60–$1.70. Short term direction depends on how price responds to moving average resistance and volume movements.
