XRP, XLM, and IOST Rally Amid Key Developments and Market Optimism

NOIDA (CoinChapter.com) — Ripple (XRP), Stellar Lumens (XLM), and IOST are capturing the spotlight as they lead the latest crypto market rally, supported by bullish fundamentals and heightened investor interest. XRP’s price surged by 12%, driven by whale accumulation and growing speculation around U.S. ETF approval, a move that could redefine its market trajectory. Stellar (XLM) continues to shine with significant growth, highlighting its utility in cross-border payments and low transaction costs.

Meanwhile, IOST maintains steady momentum, with its blockchain developments drawing attention.

XRP’s Rising Momentum

XRP has captured investor attention with a 12% surge in recent trading sessions, driven by strong whale accumulation and rising speculation about an ETF approval in the U.S.

XRP whales have been accumulating, according to Santiment.

According to Santiment, addresses holding 1 million to 10 million XRP has collectively added 1.43 billion tokens since November 2024. This significant accumulation underscores heightened investor confidence in XRP’s future utility.

XRP is attracting significant market attention.

Additionally, a Santiment post noted that XRP attracted increased attention from market participants. The on-chain analysis platform noted that the attention likely stems from optimism over the project’s potential in banking and cross-border payments, highlighting low transaction costs and its potential to reshape global financial systems. Speculation around ETF approval has amplified bullish sentiment, positioning XRP as a top contender for significant market cap growth.

This optimism has translated directly into price action. As market participants monitor developments, the token’s value reflects heightened demand. XRP’s recent price movements underscore its role as a leading asset in the ongoing crypto rally, with whale activity and market speculation driving its upward trajectory.

XRP USD daily price chart with RSI and VRVP. Source: Tradingview

The XRP USD pair continued its bullish momentum from Jan. 13, trading at $2.83 after a 9.4% spike to a daily high near $2.9. Bulls used the 20-day EMA (red) as a spring board to launch the recent rally, with the Ripple token targeting the resistance near $3.17. Breaking above the immediate resistance could help XRP price reach the 0.786 Fib retracement level resistance near $3.69.

The VRVP (Volume Range Volume Profile) highlighted accumulation zones between $1.99 and $2.49, indicating robust support levels. The metric underscored strong investor activity in these ranges, providing a cushion against short-term price corrections.

Currently, at 68.67, the RSI approaches overbought territory, suggesting a potential slowdown if buying pressure wanes. However, the bullish EMA alignment (20-day above 50-day) reinforces the upward trend, keeping the token positioned for further upside.

XLM Rally Could Invalidate Bearish Pattern

The XLM USD pair’s recent rally could help the token invalidate a bearish technical setup called the ‘Descending triangle pattern.’

Analysts recognize the descending triangle as a bearish continuation pattern. The configuration features a declining upper trendline that compresses price action into lower highs, while a flat lower trendline serves as consistent but weakening support.

XLM USD pair formed a bearish setup. Source: Tradingview

The pattern signals intensifying selling pressure, resulting in progressively weaker rallies that struggle to breach resistance. In this setup, traders estimate the potential downside by measuring the maximum height of the triangle.

The measured move target for this pattern suggests a decline toward $0.19, dropping nearly 60% along the way, if the support level breaks convincingly. However, XLM bulls seem determined to invalidate this pattern potentially. XLM price would need to sustain momentum and break above the descending resistance line.

Meanwhile, XLM price spiked nearly 11.5% on Jan. 15 to reach a daily high near $0.482.

XLM USD daily price chart with RSI.

A continued rally would likely require bulls to flip the 0.618 FIB resistance near $0.517. Moreover, breaking and consolidating above the immediate resistance would likely help XLM price rally to the resistance near $0.6 before retreating.

On the other hand, profit-booking traders could cause the XLM rally to fail, forcing the Stellar Lumens token to test its 50-day EMA (purple) support near $.394. Breaching the immediate support would bring the support near $0.317 into play.

The RSI for XLM was closing in on the overbought region, with a score of 61.9 on the daily charts. An overbought RSI could force a short term correction in XLM prices.

OST’s Transformation and Market Implications

IOST is undergoing a notable transformation under its 3.0 initiative, a move aimed at reinforcing its Layer-2 blockchain infrastructure and positioning itself as a leading Web3 payment solution. The transition will involve the issuance of 21.3 billion new tokens, distributed strategically to support validator rewards (60%), community incentives (20%), and payment innovations, governance, and technical grants (20%).

By expanding its validator network to over 5,000 nodes, the project seeks to boost scalability, transaction throughput, and ecosystem efficiency.

Upbit warned users about IOST’s potential volatility.

These changes have prompted a cautionary notice from Upbit, a leading South Korean exchange, highlighting potential volatility as the market adjusts to IOST’s evolving tokenomics. Despite these concerns, the project’s focus on incentivizing community and developer participation suggests a long-term positive outlook for the ecosystem.

Market reactions to these developments have been notable. IOST’s price spiked over 28% on Jan. 14 to reach a daily high near $0.00846, reflecting investor confidence in the project’s growth potential. However, with 21 billion new tokens set to enter circulation, short-term volatility remains a possibility.

IOST USD daily price chart with RSI. Source: Tradingview

Moreover, the token’s recent spike resulted in traders booking profits, forcing IOST price to drop nearly 6% to reach a low near $.00075 on Jan. 15. Bulls are trying to keep the token above the 20-day EMA (red) and 50-day RMA (purple) dynamic support confluence. Breaching the EMA support could force the IOST price to test the 200-day EMA (gree) support level near $0.0068. Failure of the immediate support could force the 0.236 FIB support level near $0.0058 into play.

On the other hand, a continued uptrend would see bulls facing resistance near $0.0084 and $0.0095. Additionally, the RSI for IOST remained neutral, with a score of 51.04 on the daily charts.