Ripple's XRP is currently trading around $2.62, having risen from a seven-day low of $2.34. The token has seen an 8% increase over the past week, although its performance in the last 24 hours shows minimal change, according to CoinGecko data.
Market indicators suggest that significant holders may be reducing their exposure following the recent price surge.
Large Holders Reduce Exposure
Wallets that hold between 1 million and 10 million XRP have reportedly divested over 140 million tokens. This selling activity coincided with the price increase, prompting questions about the long-term sustainability of the rally.
The decrease in whale holdings was highlighted by analyst Ali Martinez, who observed a consistent decline in large wallet balances as XRP's price climbed. This shift in investor positioning has generated concern, as similar patterns have preceded price reversals in the past. Martinez shared this observation via a post:
$XRP is up 13% in the past few days, but whales seem to be taking profits, offloading over 140 million tokens! pic.twitter.com/xDctWB3gDi
— Ali (@ali_charts) October 28, 2025
In addition to whale activity, the TD Sequential indicator has issued a sell signal on XRP's daily chart. This technical signal has been followed by several short-term reversals in recent months. While not a definitive predictor of a reversal on its own, its historical performance suggests it could serve as a warning for bullish investors.
XRP Approaches Resistance, Momentum Weakens
XRP is currently testing the upper Bollinger Band, which is situated near the $2.69 mark. The price had previously moved away from the lower band earlier this month and is now approaching a price zone where prior rallies have encountered resistance or reversed. The Bollinger Bands remain relatively narrow, indicating a lack of significant volatility expansion.
Concurrently, the Stochastic RSI is indicating overbought conditions, with both the %K and %D lines above 94. A bearish crossover is beginning to form, a pattern that has historically marked short-term turning points on recent XRP charts.
Key Levels Remain Critical
Analyst Man of Bitcoin has identified $2.53 as a significant level to monitor. A sustained break below this price point could signal the formation of a larger corrective move.
As previously reported, XRP is still potentially moving within a Wave 4 structure. This analysis suggests that until the $2.82 resistance level is decisively broken, there might be one final downward movement before a more substantial breakout attempt can be expected.