XRP traded relatively flat on Wednesday after a volatile week driven by macroeconomic uncertainty and shifting investor sentiment across the crypto market.
Notably, the token surged by nearly 7% over the past week as investors continue to assess the long-term implications of the U.S. CLARITY Act alongside easing geopolitical tensions following the recent Middle East conflict.
Meanwhile, onchain data from blockchain analytics platform Santiment suggests XRP’s recent recovery has pushed many short-term holders back into profit.
According to Santiment, XRP’s 30-day Market Value to Realized Value (MVRV) ratio has risen above the neutral line, alongside those of Bitcoin, Ethereum, Cardano, and Chainlink. The metric measures whether wallets active during the past month are holding unrealized gains or losses.
Additionally, the platform noted that the market has moved beyond the ideal “buy the fear” environment that existed when MVRV values were negative. Although current readings do not suggest excessive overheating, they indicate that traders should prepare for potential profit-taking if bullish momentum begins to fade.
 
However, despite the growing risk of short-term selling, several market analysts continue to maintain a bullish long-term outlook for XRP.
Analyst Celal Kucuker highlighted Stellar (XLM) as one of the strongest-looking assets on the monthly timeframe, suggesting it could eventually climb toward $2.50 while benefiting from the bullish momentum already developing around XRP.
Given the historical relationship between the two payment-focused cryptocurrencies, continued strength in XRP could also support further gains for XLM.
Furthermore, analyst ChartNerd argued that XRP continued to trade within a prolonged structural compression pattern characterized by wedge and triangle formations. According to the analyst, similar technical structures have historically resolved with sharp upside moves.
The analyst also pointed out that XRP still trades more than 70% below its all-time high, describing the current trading range as a long-term accumulation phase rather than a sign of weakness. In his view, the extended consolidation could provide the foundation for the next major bullish expansion if buying momentum continues to build.
Moreover, analyst Crypto Patel offered a similar perspective, describing XRP as trading in a state of “liquidity equilibrium,” where buyers and sellers appear relatively balanced.
Such conditions often precede significant price moves once one side gains control of the market. Rather than indicating weakness, Patel suggested the balanced positioning reflects a period of accumulation before volatility eventually returns.
At the time of writing, XRP changed hands at $1.06, reflecting a 0.51% gain over the past 24 hours.
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