XRP is surging higher toward $1.30 on Wednesday as improving cryptocurrency market sentiment and increased whale withdrawals from exchanges provide support for the token’s recovery.

The rebound comes amid developments surrounding the US midterm elections, with the Democratic Party securing a Senate victory and moving toward broader congressional control, according to the reported election results.

Bitcoin has also recovered above $78,000 after falling toward a six-week low near $76,000 following the $6.3 billion Binance security breach.

The broader recovery appears to be encouraging renewed interest in XRP, while on-chain data suggests that large holders have been moving substantial amounts of the cryptocurrency away from centralized exchanges.

However, despite the improving sentiment, XRP continues to trade below several important technical resistance levels, leaving the sustainability of the rebound uncertain.

XRP whale withdrawals rise 74.5% as exchange supply declines

Large XRP holders have significantly increased their withdrawals from cryptocurrency exchanges over the past week.

According to CryptoQuant data, cumulative whale net outflows across multiple exchanges reached approximately 696 million XRP on Wednesday.

That compares with 399 million XRP on October 28, representing a 74.5% increase over seven days.

The rise suggests that large holders have been withdrawing more XRP from exchanges, potentially reducing the amount immediately available for spot trading.

Additional CryptoQuant data points to a notable change in the balance between large and smaller XRP market participants.

The XRP Whale vs Retail Spread on Binance climbed to 98.4% on Tuesday, reaching its highest reading since October 15, 2024.

By comparison, the corresponding reading across centralized exchanges stood at 65.1%.

The difference suggests that whale-related activity on Binance has become particularly pronounced relative to retail activity.

For XRP to establish a more convincing bullish trend, the improvement in on-chain metrics would need to be accompanied by stronger spot demand and a breakout above major technical resistance levels.

US midterm elections support broader cryptocurrency recovery

XRP’s rebound comes alongside a broader recovery across the cryptocurrency market.

The reported Democratic victory in the US Senate and expectations of further congressional gains have coincided with improving sentiment toward digital assets.

Bitcoin has reclaimed the $78,000 level after last week’s Binance-related sell-off pushed prices toward $76,000.

The recovery suggests that some of the immediate uncertainty surrounding the security breach has begun to ease.

Other factors, including the US dollar’s performance, liquidity conditions, and investor positioning, may also be contributing to the rebound.

XRP faces resistance at $1.30 and $1.34

Despite its recent gains, XRP’s daily chart continues to show a cautious technical structure.

The token is trading above $1.28 but remains below its major Exponential Moving Averages (EMAs), indicating that the broader corrective phase has not yet ended.

Immediate resistance lies near $1.30, where the middle boundary of the Bollinger Bands is positioned.

Above $1.30, the next resistance emerges at the 100-day EMA around $1.32.

The 50-day EMA at $1.34 represents another significant hurdle.

These moving averages form a concentrated resistance area that buyers must overcome to strengthen the bullish outlook.

A decisive daily close above $1.34 would suggest that XRP is beginning to regain control of its short- and medium-term trend.

However, until XRP reclaims these levels, rallies remain vulnerable to renewed selling pressure.

Momentum indicators suggest that XRP’s selling pressure is beginning to weaken, although buyers have not yet established a clear advantage.

The Relative Strength Index (RSI) is hovering around 43, slightly below the neutral level of 50.

A sustained move above 50 would provide additional evidence that buyers are gaining influence over short-term price movements.

Meanwhile, the Moving Average Convergence Divergence (MACD) indicator has turned slightly positive.

The improvement suggests that downside momentum may be fading and that a recovery attempt is developing.

On the downside, the lower Bollinger Band near $1.23 represents the next meaningful support level.

If XRP fails to hold its recent gains and breaks below $1.23, bearish momentum could strengthen again, increasing the risk of further losses.

For now, XRP’s near-term outlook depends on whether rising whale withdrawals and improving market sentiment can generate enough buying pressure to overcome the $1.30–$1.34 resistance zone.

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