XRP has broken above $1.62, meaning it is less than 5% away from the key $2 level. This impressive growth has sent prices up more than 50% since last Tuesday, attracting the attention of investors and analysts alike. The upward momentum suggests that the price may continue its upward trend, driven by growing optimism and good market sentiment. However, such rapid gains also carry potential risks, especially in volatile conditions.
CryptoQuant analyst Maartunn highlighted critical observations, suggesting that XRP’s recent surge may be due to leveraged positions rather than organic demand. AND Lever driven pump indicates increased speculative activity, which may lead to edged corrections if dynamics weaken. As the price approaches multi-year highs, market participants must carefully navigate this scenario, balancing enthusiasm with awareness of the possible risk of loss.
The coming days will be crucial for XRP as it approaches the psychological level of $2. A successful break of this mark can strengthen the uptrend and set the stage for modern highs. Conversely, failure to maintain current levels could result in increased volatility and retracement. For now, it remains one of the most closely watched assets in the cryptocurrency market, with everyone watching its next move.
Can XRP bulls maintain this momentum?
XRP’s meteoric rise of more than 285% in less than 30 days has sparked debate among investors. Many people question whether the current pace can be maintained with the high demand needed to continue to boost prices. While the rally has reignited market optimism, skeptics suggest it could either lead to a parabolic bull run or serve as a liquidity-providing exit strategy for whales.
In the crypto space get out of flow refers to retail investors who buy fast-growing assets, often on hype, allowing early investors or whales to sell their shares at higher prices. This concept raises concerns about the sustainability of XRP’s growth, especially if organic demand is unable to keep up with speculative dynamics.
Maartunn shared an intriguing perspective on XRP’s recent performance. Analyzing price action along with Open Interest (OI) data, he characterized this boost as: Lever driven pump. OI increased by 37% during this period, indicating significant growth in leveraged trading activity.
While leverage can boost returns, it also creates increased volatility and risk. Maartunn noted that a similar event in the past resulted in a 17% decline, warning investors to be cautious.
As XRP approaches key psychological levels, the next steps will be crucial. Investors must weigh the potential for further growth against the risks of increased leverage and possible whale-fueled sell-offs.
Price Action: Key Levels to Watch
XRP is trading at $1.92, breaking the critical resistance level at $1.60 and continuing its streak of modern highs. The price is currently approaching the previous cycle’s high of $1.96, a level that has significant psychological and technical significance. This momentum has sparked optimism among investors who see the $2 mark as confirmation of XRP’s long-term bullish structure.

A break above $2 would strengthen bullish sentiment, marking a key milestone in the ongoing XRP rally. Such a move could pave the way for even higher price targets as market confidence grows. However, investors remain cautious about the possibility of a repeal. If XRP fails to sustain gains above $2, a correction could push prices back to key support levels, particularly around $1.60, where significant demand has been seen.
The next few days will be crucial in determining whether the price can maintain its upward trajectory or if it is at risk of a momentary pullback. As the asset approaches the all-important $2 mark, investors should pay attention to trading volumes and market sentiment, which will likely guide XRP’s direction in the brief term.
Featured image from Dall-E, chart from TradingView