XRP eyes $3 reclaim after breaking key resistance but will momentum hold?

Following a long period of sideway movement, XRP has finally gotten relief as the market recovers, and analysts think it’s ready to go higher.

One of such analysts on 27 October tweeted that the token is ready to reclaim the $3 price if it manages to sustain its current momentum.

The positive outlook stems from factors such as whale activity, a rising Open Interest, and a generally bullish sentiment around the token. 

Will the momentum hold

Generally speaking, XRP is one of the tokens with the most positive supporters. However, this positive sentiment alone seems insufficient to keep the token’s growth.

As the market suffered several corrections recently, XRP is one of the top assets that took the biggest hit, reaching as low as $2.10.

With the recovery, the token has managed to break $2.55, a level the analyst describes as a major resistance, and now the next target is $2.8 after which he believes $3 can be reclaimed.

The asset is currently trading at $2.63, but is not among the best performing in the last 24 hours, raising concerns about the sustainability of its momentum.

There have also been no indications of whales buying the token recently, just dumps. It was reported just two days ago that whales sold $70 million worth of the token.

The trading volume however has increased by 16% in the last 24 hours, but may not be sufficient to sustain the upward movement.

Whales must step in

Whales will need to step in and start buying the token to support the price movement and ensure that the rally is sustained.

It is possible for XRP to ride on the general sentiment of the crypto market if it continues to rise though, which can bring it to higher prices including the psychological $3 price.