XRP Price Surges 12%: What’s Behind the Rally?
XRP (XRP) has seen a significant price increase of 12% since falling below $2 on November 21, reclaiming some key support levels. This surge can be attributed to rising network activity and sustained institutional demand, coupled with lower supply on exchanges, which can lead to a sustained price recovery. The XRP Ledger velocity has reached a yearly high, indicating increased network activity and demand.
An increase in XRP Ledger speed and whale activity signals increased network activity and demand. According to data from CryptoQuant, the velocity of the XRP ledger has experienced a sudden increase, rising to a yearly high of 0.0324. This high velocity suggests that XRP is being actively used in economic activities and on-chain transactions rather than held.
XRP Ledger Velocity and Whale Activity
CryptoQuant analyst CryptoOnchain said in a quicktake analysis, “Such a rise typically means high liquidity and significant participation from traders or significant movements from whales.” This data confirms that the XRP Ledger “is experiencing one of its most active periods in 2025 and user engagement is at its peak.”
Another chart from CryptoQuant showed consistently high values for the average spot order size metric for 30 consecutive days, suggesting that whales remained increasingly active in the spot market during this period. 
XRP Balance on Exchanges Reaches 7-Year Low
As data from Glassnode shows, there has been a sharp decline in XRP supply on exchanges over the past 30 days. The XRP balance on exchanges fell by 930 million tokens to 2.7 billion, a level last seen in September 2018. 
A declining balance on exchanges indicates a lack of intention from holders to sell, reinforcing the upside potential for XRP. The sharp decline coincided precisely with record outflows across exchanges, as XRP net position change between exchanges fell by 1.4 million XRP, marking the largest increase in history, according to Glassnode data. 
XRP Price Support and Resistance
XRP’s recent rally saw it reclaim a key support level at $2.15, which is also supported by the 50-period simple moving average (SMA). Reclaiming this trendline was previously preceded by significant rallies in XRP price. 
Glassnode’s realized UTXO price distribution (URPD) shows that $2.15 is the most significant support for XRP, where investors have acquired 3.6 billion tokens. 
For more information, visit https://cointelegraph.com/news/xrp-price-shows-promise-2-15-dollars-heres-why
