Has XRP Already Bottomed? Bullish MACD Signal Meets $5.66M Institutional Buying
XRP's recent pullback may be nearing its end, but there is more than meets the eye since confirmation is still needed before calling a trend reversal.
While momentum is showing early signs of improvement, the market remains at a pivotal point where technical validation will determine the next major move.
Renowned market analyst EGRAG CRYPTO believes the worst could already be behind XRP, citing the cryptocurrency's 40-day Moving Average Convergence Divergence (MACD) as an increasingly bullish signal.
The MACD, a widely followed momentum indicator, appears to be flattening after an extended decline, suggesting bearish pressure is easing and buyers are beginning to regain control.
However, EGRAG notes that caution should not be thrown to the wind because a recovery has not yet been confirmed. A bullish MACD crossover, combined with a breakout above key resistance levels and the formation of higher highs, would provide stronger evidence that XRP has completed its correction and is entering a fresh uptrend.
Until then, the improving momentum should be viewed as an encouraging development rather than definitive proof.
His assessment that "the worst may be closer to being behind us than ahead of us" suggests XRP could be in the final stages of its correction. Historically, similar MACD setups have preceded significant rallies once bullish momentum fully takes hold.
Institutional Accumulation and Improving Charts Fuel XRP Recovery Hopes
CoinCodex data shows XRP trading at $1.14, placing the top altcoin at a critical technical inflection point. Holding current support while building momentum would reinforce the view that the recent decline was a healthy reset instead of the beginning of a prolonged bear market.
Adding to the bullish narrative, institutional demand appears to be strengthening. According to crypto exchange Bitrue, ETF clients of global asset manager Franklin Templeton have accumulated approximately $5.66 million worth of XRP, signaling growing confidence despite recent market volatility.
Behind the scenes, institutional investors often accumulate during periods of uncertainty, positioning themselves ahead of anticipated catalysts rather than chasing rallies after they begin with spot XRP ETFs already being ideal investment vehicles.
With technical momentum improving and institutional accumulation accelerating, XRP's outlook is becoming increasingly constructive.
A confirmed MACD bullish crossover and a decisive break above key resistance could mark the end of the correction and the beginning of a broader recovery. Until then, technical confirmation remains the catalyst market observers are watching most closely.
