<p class="is-style-lead">XRP’s price has surged over 15% in the last 24 hours and continues its rally but on-chain metrics show a gradual decline in bullish sentiment.</p>
<p class="is-style-default"><a href="https://app.santiment.net/s/ApDzEZXc" target="_blank" rel="noopener noreferrer nofollow">Data</a> from Santiment reveals Ripple’s (<a rel="noopener noreferrer nofollow" href="https://crypto.news/price/xrp/">XRP</a>) active wallet addresses shot up over 116,000, helping XRP’s price rally by over 15% in 24 hours. The fourth-largest cryptocurrency’s market cap hit $155.69 billion, a record high on Dec. 3. The trading volume of the token is up by<a href="https://coinmarketcap.com/currencies/xrp/" target="_blank" rel="noopener noreferrer nofollow"> 93.29%</a> in 24 hours. The <a rel="noopener noreferrer nofollow" href="https://crypto.news/chart-week-xrp-rally-12-percent-what-to-expect-ripple/">massive rally</a> that XRP has been witnessing in the <a rel="noopener noreferrer nofollow" href="https://crypto.news/us-election-result-will-likely-lead-to-better-crypto-regulation-sp-analysts/">post-U.S. elections </a>era is due to a higher investor momentum reflecting more participation from retail investors than whales.&nbsp;</p>
<p>You might also like: <a rel="noopener noreferrer nofollow" href="https://crypto.news/us-government-moves-nearly-20k-btc-worth-1-92b/"> US government moves nearly 20k BTC worth $1.92b </a></p>
<h2 class="wp-block-heading" id="strong-declining-whale-activity-limits-xrp-rally-strong"><strong>Declining whale activity limits XRP rally</strong></h2>
<p>Whale activity, as shown by a decline in stablecoin holdings to <a href="https://app.santiment.net/s/g4Y1xcAx" target="_blank" rel="noopener noreferrer nofollow">53.993%</a> of the total supply, reflects cautious sentiment among large investors. This behavior is an indication that whales are chary of adding positions in the market, which is starting to limit the rally’s strength.&nbsp;</p>
<p>Additionally, the Moving Average Convergence Divergence chart from <a href="https://www.tradingview.com/x/gnx6qRvN/" target="_blank" rel="noopener noreferrer nofollow">TradingView</a>, a key technical tool for analyzing the price movement, indicates a recent bearish crossover as the signal line crosses the MACD line.&nbsp;</p>
<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1199" height="821" src="https://crypto.news/app/uploads/2024/12/XRPUSD_2024-12-03_07-26-38.png" alt="A MACD chart for XRP from TradingView on December 3, 2024, showing a bearish crossover where the signal line crosses the MACD line. The histogram indicates declining momentum with negative values.
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  XRP MACD analysis reveals a bearish crossover, signaling declining bullish momentum and potential short-term price correction. | Source: TradingView chart by <a rel="noopener noreferrer nofollow" href="https://crypto.news/">crypto.news</a>
 </figcaption>
</figure>
<p>In the short term, the price for the <a rel="noopener noreferrer nofollow" href="https://crypto.news/ripple-token-xrp-set-for-a-significant-price-surge-analyst-predicts/">Ripple-token</a> seems to aim for lower bounds. The histograms have shifted downward into negative territory, further reflecting a cautious stance for XRP in the market.&nbsp;</p>
<h2 class="wp-block-heading" id="strong-the-profit-to-loss-metric-reflects-a-cautious-sentiment-strong"><strong>The profit-to-loss metric reflects a cautious sentiment</strong></h2>
<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="3840" height="1300" src="https://crypto.news/app/uploads/2024/12/XRP-Ledger-XRP-06.30.02-03-Dec-2024.png" alt="A bar chart showing the daily ratio of on-chain transaction volume in profit-to-loss for XRP from October 16 to November 3, 2024. The chart highlights fluctuations in the metric, with notable peaks and valleys reflecting changing market sentiment." class="wp-image-14315640">
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  XRP’s daily profit-to-loss ratio shows fluctuating investor sentiment, with a recent low of 0.374 indicating cautious trading behavior. | Source: Santiment by <a rel="noopener noreferrer nofollow" href="https://crypto.news/">crypto.news</a>
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</figure>
<p>You might also like: <a rel="noopener noreferrer nofollow" href="https://crypto.news/spot-bitcoin-etf-news-driving-prices-chainlink-meme-moguls-and-xrp-may-benefit/"> Spot Bitcoin ETF news driving prices, Chainlink, Meme Moguls, and XRP may benefit </a></p>
<p>The on-chain profit-to-loss metric further shows that traders are not keen on taking aggressive positions with the current market rally. The daily profit-to-loss ratio recently hovered around 0.374, meaning more investors are selling than buying the token. A low number for daily profit-to-loss during a rally indicates hesitation for traders to enter into long positions. This reading, coupled with the bearish MACD crossover, implies that further XRP price upticks might be hard for the token to make.&nbsp;</p>
<h2 class="wp-block-heading" id="strong-challenges-to-sustain-xrp-s-positive-rally-strong"><strong>Challenges to sustain XRP’s positive rally</strong></h2>
<p>At press time, XRP is trying to break out from its downward rally in the last hour. The divide between retail-driven network growth and the cautious outlook observed by institutional investors is making it harder for the token to continue its upward movement, even as WisdomTree has<a rel="noopener noreferrer nofollow" href="https://crypto.news/wisdomtree-files-s-1-for-spot-xrp-etf-with-sec/"> filed for a spot XRP ETF</a>. If institutional buyers can expect a positive development for XRP from the <a rel="noopener noreferrer nofollow" href="https://crypto.news/bitwise-proposed-bitcoin-ethereum-tied-etf-to-sec/">regulatory body</a>, they may increase liquidity in the market, which can push XRP prices higher.&nbsp;</p>
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
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  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">Uptick in the crypto market means uptick in scams — reminder that <a href="https://twitter.com/Ripple?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">@Ripple</a> will never ask you to send XRP, and neither will Brad, David, Monica, Stu, or anyone else from Ripple. Stay vigilant!<br><br>Learn how to protect yourself and report scams: <a rel="noopener noreferrer nofollow" href="https://t.co/gG4D3trnOu" target="_blank">https://t.co/gG4D3trnOu</a> <a rel="noopener noreferrer nofollow" href="https://t.co/Bl9clvDLOb" target="_blank">pic.twitter.com/Bl9clvDLOb</a></p>— Ripple (@Ripple) <a href="https://twitter.com/Ripple/status/1863664630528143676?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">December 2, 2024</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
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  Ripple tweets on staying alert against scams amid uptick in the crypto market for XRP token
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<p>While in the short-term, the market sentiment is cautious, an increase in XRP’s price and sustaining any positive rally will depend on whether the token can overcome the challenges reflected in the on-chain metrics.&nbsp;</p>
<p>Read more: <a rel="noopener noreferrer nofollow" href="https://crypto.news/ripples-xrp-price-prediction-hits-6-year-highs/"> Ripple’s XRP hits 6-year highs: Could it challenge Ethereum’s no. 2 spot? Analysis and predictions </a></p>
<p>Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.</p>

XRP price surges 15% in 24H as network growth drives rally, but will it last?

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