XRP is exhibiting indicators of a potential new wave in its market structure, with technical indicators and chart formations aligning for an upside move. Analysts are closely monitoring price action as it approaches critical resistance levels for confirmation.
Signs of a New Wave Structure
Analyst Dark Defender has observed that XRP appears to have completed its monthly Wave 4 correction, according to Elliott Wave Theory. The most recent move in the ABC correction concluded around the $1.88 mark, which aligns with the 161.8% Fibonacci extension, a level frequently signaling the end of corrective phases.
The digital asset is now approaching a descending resistance line. A confirmed breakout above this trend line, coupled with a move beyond $2.22, could signify the commencement of Wave 5. Dark Defender elaborated on this potential scenario:
XRP has completed the Monthly Wave 4 Structure. Now we see the signs of Wave 5 as initial steps. After breaking the yellow trend resistance, things will quickly escalate above $3.01. Have an excellent weekend.
— Dark Defender (@DefendDark) November 28, 2025
This particular resistance level corresponds to the 70.2% Fibonacci retracement. Should a further breakout occur, long-term targets near $5.85 could come into play, based on the 261.8% Fibonacci extension.
Bullish Patterns on Shorter Timeframes
XRP has also demonstrated strength on the 4-hour chart. Analyst CryptosBatman noted that the asset recently broke out of a bullish pennant formation. This movement followed a successful recovery of the $2.15 support zone, which had previously acted as resistance. The breakout suggests an increase in buying activity. If this momentum is sustained, near-term targets ranging between $2.30 and $2.60 are anticipated.
Another analyst, ChartNerd, highlighted that XRP is currently forming a rectangular bull flag. This pattern typically indicates consolidation within a horizontal range after a significant upward price movement. A confirmed breakout above the resistance zone of this pattern would project a target near $24, calculated based on the height of the flagpole.
On-Chain Data Shows Whale Distribution
On-chain data sourced from Santiment indicates significant selling activity from whale wallets. Addresses that hold between 1 million and 10 million XRP have offloaded more than 2.2 billion tokens over the past month. According to analysis by Steph Is Crypto, this represents the largest volume of tokens sold by this cohort since March 2023. Recent reports also indicate that 460 million XRP were sold in a span of just four days. Whales moved approximately 1.5 billion XRP throughout the month, including a notable transfer of 180 million XRP earlier this week.
Despite these large-scale movements, the token has experienced a modest rebound in recent days. However, overall whale holdings remain near their lowest recorded levels. Binance's XRP reserves have also decreased to 2.7 billion XRP, marking the lowest point in over a year. Around 300 million XRP have departed the platform since October. These shifts in holdings reflect substantial distribution among major holders and potentially signal caution among these significant investors.