### XRP Soars to Nearly $3 Following President Trump’s Plans for a U.S. Crypto Reserve
XRP experienced a remarkable surge, reaching almost $3 after President Trump announced intentions for a United States cryptocurrency reserve, which would include Bitcoin (BTC), Ethereum (ETH), Cardano (ADA), and Solana (SOL). However, the payments-focused token has since seen a significant pullback of 50%, currently trading at $2.31. Notably, a crypto analyst has pointed out that XRP whales are making substantial moves behind the scenes.
### XRP Whales Just Cashed Out Harder Than They Ever Have
Recent data from CryptoQuant reveals that large holders of XRP are cashing out. Crypto analyst Kate Young-Ju highlighted XRP’s volume bubble map, which indicates increased trading activity between the $2 and $3 price points over the past month. While high trading volumes can suggest buying interest, Young-Ju believes that XRP is currently in a distribution phase.
> “$XRP is currently in a distribution phase.”
> 
> — Kate The Alt (@kate_young_ju) March 2, 2025
For those unfamiliar, a distribution phase is characterized by profit-taking among investors, typically occurring near the peak of a price rally. On-chain analyst JA Maartunn echoed this sentiment in a recent post on X, asserting that XRP is indeed in a distribution phase. By analyzing whale flow, Maartunn noted that negative whale flows, calculated using a 30-day moving average (30-DMA), have reached an unprecedented low. He explained, “This metric shows the Whale Flow. They are offloading $XRP like never seen before.”
Additionally, XRP reserves on the Binance exchange have surged from 2.72 billion tokens to 2.90 billion, indicating increased selling pressure that aligns with the ongoing distribution phase of XRP.
### Is XRP Set For More Losses?
Crypto analyst Dami DeFi suggested that XRP’s long-term chart indicates significant consolidation below key resistance levels and an ascending trendline. “With Trump backing XRP for the U.S. reserve, once it flips this level, it’s game on for price discovery,” Dami DeFi remarked.
Conversely, Bitcoin enthusiast Matt C is less optimistic about XRP’s prospects. He pointed out the formation of an inverse head and shoulders pattern for the altcoin. With the relative strength index (RSI) showing lower highs on XRP’s daily chart, Matt believes the recent rally served as “exit liquidity.” He advised, “No $XRP ideologue will do it… But one should be cashing out & buying $BTC immediately.”
One factor that may be dampening enthusiasm among XRP traders is the ongoing lawsuit from the U.S. Securities and Exchange Commission (SEC) against Ripple. While the SEC has dropped enforcement actions against other platforms like Coinbase, OpenSea, Robinhood, Uniswap, and Kraken, Ripple remains notably absent from these dismissals. This uncertainty is likely undermining investor confidence. Nevertheless, a surprising positive outcome in the near future could trigger a significant surge in XRP’s value.
