XRP Targets $3.50: Bullish Flag Hints at Major Breakout 

• XRP is consolidating within a bullish flag structure with $3.50 as the projected price target after breaching $2.50.  
•  Mid-tier holders holding 100,000–1,000,000 XRP have increased, showing growing interest from investors supporting the price movement.  
• Wallet distribution data and price trends suggest steady market accumulation, indicating strong momentum for a potential breakout.  

XRP has settled within a bullish flag pattern that suggests a potential breakout, suggesting that it is prepared for an upward move. The digital currency is currently trading at $2.42, and if the value slides through the $2.50 resistance level, analysts like World of Charts  predict a rally toward $3.50.  

Earlier this month, XRP experienced a massive rally when its price rose from $0.67 on December 4 to $2.46 by December 9. This marked an extraordinary 267% gain in just five days, forming a strong upward flagpole that supports the current bullish flag pattern. Besides, the ongoing consolidation within the range of $2.30 to $2.50 suggests the market is preparing for another surge.  

Bullish Flag Points to Continuation  

The flag pattern visible on the XRP chart is often seen as a continuation indicator, signaling strong momentum for further gains. A breakout above $2.50 would likely trigger a rally, with analysts estimating a potential rise of  $1.20, equivalent to the length of the initial flagpole.  

The projected target of $3.50 is achievable if the resistance at $2.50 is surpassed and buyers sustain upward pressure. Besides, $2.30 has emerged as a strong support level, and holding this level could maintain the bullish structure, ensuring the price doesn’t fall into extended consolidation.  

According to the charts, breaking out of the current pattern is crucial for confirming the next leg upward. This technical setup suggests that the bulls could continue to dominate if the price remains above key support levels.  

Market Sentiment Builds as XRP Consolidates  

The analysis by World of Charts, published on TradingView, has captured widespread attention among traders, with over 8,000 views. .  

However, some traders remain cautious about the sustainability of recent gains, given the volatility often associated with price increases. Still, buying interest has grown, with strong market demand evident in the trading volume and technical chart patterns.  

XRP Supply Distribution and Price Correlation

Recent data from Santiment  reveals changes in XRP’s availability distribution, aligning with its bullish momentum toward $2.499. Wallets holding 100,000–1,000,000 tokens increased from 249,000 addresses in October to 250,000 in December, indicating interest from mid-tier investors.

Similarly, accounts with 10,000–100,000 XRP rose from 597,000 in November to 598,000, showcasing steady accumulation. Small wallets holding 100–1,000 XRP remained stable at 604,000, while accounts above 1,000,000 coins displayed minimal change, reflecting stability among big investors. 

These shifts highlight consistent accumulation across multiple tiers, supporting the previously noted bullish flag pattern and potential rally toward $3.50.  XRP’s price increase from $0.70 in November to its current $2.499 aligns with rising activity in mid-tier wallet categories. The slight decline in wallets holding 1,000–10,000 XRP, dropping from 593,000 to 590,000, may indicate redistribution or profit-taking, suggesting market balance. 

These metrics, combined with the flag pattern from World of Charts analysis, reinforce confidence in XRP’s potential to surpass $2.50 resistance and move toward $3.50. The correlation between distribution metrics and price action highlights the importance of monitoring these wallet categories as indicators of market behavior.