After a challenging week that pushed XRP down to a low of $2.38, the digital asset is demonstrating significant recovery, fueled by a massive influx of capital.
Market analyst Paul Bennett points to an almost 8% weekend bounce and a surge of $1.36 billion in open interest as evidence of strong market conviction. This "aggressive dip buying" suggests traders are viewing the recent price drop as a buying opportunity rather than the start of a deeper decline. The increase in open interest, which measures outstanding futures contracts, shows that both retail and institutional investors are re-entering the market with renewed confidence.
XRP is now facing a critical test against major resistance and liquidity zones between $2.55 and $2.70. Bennett states that a decisive breakout above this area is essential to turn the rebound into a sustained rally, potentially clearing the path toward the psychological target of $3.00.
Despite the improving sentiment and a modest increase in "whale" accumulation (large holders buying), the market remains tentative. Trading volumes are still below their September highs, indicating that overall market confidence is fragile. Furthermore, technical indicators like the RSI and MACD are suggesting XRP is approaching overbought territory, which could lead to a period of consolidation in the near term.
Nevertheless, XRP's swift recovery underscores its growing resilience and highlights the ongoing optimism surrounding its use case in blockchain-based payments and cross-border settlement. The future direction of the price will depend on its ability to maintain strong trading volume and successfully break through the aforementioned resistance levels.
October 2025, Cryptoniteuae