XRP traded largely sideways on Wednesday following a volatile week that saw broad weakness across the crypto market.
Notably, over the past seven days, the crypto asset declined by nearly 7%, reflecting the broader downturn affecting major digital assets.
Meanwhile, despite the recent pullback, analysts and on-chain data suggest that the cryptocurrency’s underlying network activity continues to strengthen, particularly among smaller holders.
According to data from popular analytics firm Santiment, retail participation on the XRP Ledger continues to expand.
The firm’s latest wallet distribution data shows that addresses holding fewer than 100 XRP now total approximately 5.66 million, making them the largest segment of the network.
 
Meanwhile, wallets containing between 100 and 100,000 XRP account for about 2.01 million addresses, while larger holders with balances exceeding 100,000 XRP number just over 32,000 wallets.
Additionally, popular analyst Ali Martinez noted that XRP may be approaching a potential rebound phase.
According to the analyst, the TD Sequential indicator, a tool widely used by traders to identify trend exhaustion, has flashed a buy signal for the asset, suggesting that downward momentum could be nearing its end.
Furthermore, analyst ChartNerd pointed out that a deeper pullback toward the $0.70–$0.80 range could still occur before a larger rally unfolds.
According to the analyst’s interpretation of the Gaussian Channel, such a retest could serve as a launchpad for a significant upward move.
The analyst previously highlighted the possibility of XRP eventually targeting double-digit prices, arguing that the current market structure could lay the groundwork for a rally toward $10 or higher if bullish momentum returns.
Nevertheless, not all indicators point to an immediate bullish breakout. According to analyst Cryptomorphic, XRP has slipped below its ascending support line and is currently trading under the $1.35 level, an early signal that buyers may be losing control of the short-term trend.
The analyst emphasized that reclaiming the $1.452–$1.465 range will be critical for restoring bullish momentum. Failure to do so could leave the asset vulnerable to additional declines.
In particular, a break below the $1.4236 level may open the door to further downside toward the $1.387 region, suggesting the market could remain under pressure unless buyers step in decisively.
Moreover, analyst EGRAG CRYPTO recently highlighted a long-term ascending triangle pattern forming on XRP’s multi-year chart. According to him, the asset has already broken out of this structure and is currently undergoing a typical retest phase before a potential expansion.
He argues that as long as the multi-year ascending trendline remains intact, the broader bullish structure is still valid.
In his view, the current pullback should not necessarily be interpreted as weakness but rather as a normal part of market cycles, in which prices retest previous breakout levels before continuing higher.
Based on Fibonacci projections derived from the pattern, the analyst identified potential long-term targets around $8, $17, and even $27.
However, he emphasized that these levels would likely require time to materialize and depend on the market maintaining its structural support.
At press time, XRP was trading at $1.35, reflecting a 3.24% surge in the past 24 hours.
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