Policy and Technical Drivers Fueling XRP’s Surge

XRP’s recent strong rally is inextricably linked to the more crypto-friendly regulatory approach announced by the new U.S. administration following last November’s election. With overall policy sentiment turning positive, on-chain analytics provider Alphractal noted that XRP’s current technical trend closely resembles its 2017 bull run. If XRP breaks through the two-year SMA resistance level, its price could rise as much as fivefold. This could potentially drive it toward the $10 milestone.

Profitable Wallets and Whale Accumulation

As of this writing, XRP is trading around $2.89, following a pullback of nearly 15%. Despite this, on-chain data shows the overall trend remains bullish:

• Over 5,200 addresses now hold more than $1 million worth of XRP;
• 860 whale wallets each hold over 10 million XRP, a new all-time high.

These data points demonstrate that large-scale investors maintain strong confidence in XRP, and the increase in profitable wallets is further bolstering positive market sentiment.

Short-Term Risks and Potential Corrections

Although market sentiment remains strong, short-term corrections could occur as some investors take profits. Even if long-term holders sell at higher price levels, buy-side demand has absorbed the selling pressure, underscoring the resilience of market demand.

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Future Outlook and Summary

Beyond Alphractal’s assessment, DeepSeek AI has also made a bold projection: XRP could break the $10 threshold within a few months. This suggests an upside of more than three times from the current price. If this trend plays out, XRP could see a renewed bull market frenzy similar to 2021, or even surpassing previous records.