XRP is showing an improving risk/reward ratio as whale activity continues to accumulate, according to a new analysis. However, the derivatives market picture for XRP is still rather fragile due to rising leverage and repeated liquidation events in recent days.
On-chain data shows that money flows from large wallets are coming back, a signal that is often seen as positive for the medium-term price trend. When whales buy, the market typically expects reduced sell-side pressure and an increased likelihood of forming a short-term bottom.
That said, risk is still present in the futures market. The use of higher leverage together with consecutive liquidation events indicates that speculative sentiment remains strong and could make price volatility more erratic. This means that although the risk-reward structure looks better, XRP still needs additional confirmation from sustained capital inflows and buying pressure in order to move forward.
In this context, XRP is caught between two forces pulling it: on one side, accumulation from whales and positive price expectations; on the other, a weak derivatives market that is prone to liquidity sweeps. The key question is whether spot buying strength is strong enough to pull the price along afterward.