XRP, the cryptocurrency tied closely to Ripple, is drawing attention as bulls fiercely defend support levels amid a spike in market activity and a renewed attempt to break through the critical $2.99 resistance.

Volatility Drives Sharp Price Swings

In the past 24 hours, XRP experienced significant volatility, with its price rebounding from a session low of $2.82 to end the day at $2.93. This nearly 6% gain reflects aggressive buying support, despite heavy liquidation pressure and strategic selling by larger market players, known as whales.

Market Context and Technical Friction

• Recent concerns around XRP’s blockchain security stirred apprehension, putting downward pressure on the token.
• Large holders of the asset showed mixed behavior, with some distributing into rallies while others strengthened buying floors at key support zones.
• Across the broader crypto ecosystem, traders witnessed over $360 million in liquidations, reflecting a de-risking mood as investors exited volatile positions.
• According to technical analysts, $3.17 remains the major breakout level that could spark a rally toward $5.00 or higher. However, failure to hold current levels could send XRP down to a support zone near $2.65.

XRP Sees Momentum-Shifting Price Activity

• Between August 20 and 21, XRP saw a price range of $2.82 to $2.99, marking a 5.69% fluctuation.
• A sharp sell-off occurred in early afternoon UTC hours but was quickly countered by an intense rebound, lifting the token back near $2.93.
• Trading volume soared during this volatility, hitting 155 million in just one hour — nearly tripling the token’s usual volume of 63 million.
• While resistance at $2.99 proved stubborn, aggressive bid placement at $2.82 enabled a powerful recovery.
• XRP ended the day near its highs, showing that bullish momentum may be strengthening, especially underpinned by high-volume demand.

Intraday XRP volume spikes during a market rebound suggest growing institutional participation.

Related: XRP Price: $12M Max Pain for Bears

Technical Insights Signal Accumulation

• Support Level: Buyers reinforced the $2.82 area, implying a solid technical floor on rising trading volume.
• Resistance Barrier: Persistent selling was observed near $2.99, forming a clear upper limit for short-term price action.
• Volume Profile: A 155 million spike in turnover — more than 2.5 times the typical daily volume — hints at large-scale investments.
• Intraday Formation: XRP displayed a V-shaped rebound from its session lows, an indication of strong demand and possible accumulation.
• Early Session Trade: Morning trading showed modest gains at $2.94, with hourly volume above historical averages (580,000 vs 470,000).
• Outlook on Momentum: Firm buying between $2.92 and $2.93 could signal readiness for a breakout beyond the $3.00 threshold.

Key Factors Traders Are Watching

• Can XRP secure and sustain a breakout above $2.99, paving the way toward the $3.17 target?
• Whale behavior remains pivotal. Market observers are closely monitoring for signs of continued accumulation or distribution around the psychologically important $3.00 mark.
• Liquidity shocks and risk-off behavior in broader markets could influence immediate trading flows.
• Whether $2.82 continues holding as a strong support base during market pullbacks will be a critical indicator for upside potential.

At present, XRP sits in a crucial technical zone. With volume backing its current stabilization and bulls showing confidence, the ability to crack resistance could redefine the token’s short-term trajectory.