- Major “whales” have moved huge amounts of XRP, causing ripples in the cryptocurrency market.
- The price of XRP has been down recently, mirroring a broader pullback, but some analysts have predicted a $1 XRP.
- Whale accumulations have spiked remarkably in May whenever the token has dropped below a certain price level.
In a move that has sent ripples through the cryptocurrency market, whale activity surrounding XRP has surged in the wake of Ripple’s recent legal response to the SEC. This surge in whale movement, totaling over 320 million XRP in the last 24 hours, comes amidst a period of price volatility for the token.
Whales on the Move: Accumulating and Distributing
According to blockchain data trackers like Whale Alert, the past day has seen significant XRP transactions by major investors, often referred to as “whales.” These transactions showcase a mix of selling and accumulation, with two prominent whales leading the charge.
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One whale, identified by the address “…Rzn,” has been offloading XRP to cryptocurrency exchanges Bitstamp and Bitso. In two separate transactions, 58.19 million XRP were moved.
However, this selling activity has been countered by another whale, “raFi32M,” who scooped up a staggering 262.57 million XRP in a single purchase from Kraken, another crypto exchange. This large-scale accumulation by “raFi32M” has instilled optimism among XRP investors, potentially signifying belief in the token’s future value despite its current price slump.
Similar buying patterns were observed in May when XRP dipped below $0.53, suggesting a potential strategy among major investors to buy at lower price points.
XRP Price: A Temporary Dip or Something More?
At the time of writing, XRP is trading at $0.5199, reflecting a 0.24% decrease in the last 24 hours. This price movement mirrors a broader pullback in the cryptocurrency market as a whole. On-chain data also sheds light on the current market sentiment surrounding XRP.
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Trading data shows a decline in XRP’s futures open interest (OI) by 3.48% to $603.46 million today. Additionally, the derivatives market volume has dipped by 0.57% to $817.80 million. This decrease in activity suggests reduced investor enthusiasm for XRP within the futures market, potentially contributing to the token’s price slump.
The Relative Strength Index (RSI) for XRP currently sits around 46, indicating that the asset is neither overbought nor oversold. However, it does hint at a slight downward pressure on the token’s price.
The future of XRP remains uncertain, with some crypto analysts predicting a surge towards $1 in the near future. The recent whale activity, particularly the large-scale accumulation, adds a layer of bullish sentiment to the mix.
On the Flipside
- The ongoing legal battle between Ripple and the SEC is still unresolved. A negative outcome for Ripple could dampen investor confidence and lead to a sell-off.
- The motivations of whale “raFi32M” behind the large purchase are unknown.
- The large sale by whale “…Rzn…” could indicate profit-taking by early investors who bought XRP at a lower price point.
Why This Matters
The contrasting actions of major investors, one selling and the other accumulating a massive amount highlight the current uncertainty surrounding XRP. This uncertainty stems from the ongoing legal battle with the SEC, and its resolution could significantly impact not just XRP’s price, but also broader investor confidence in the entire cryptocurrency market.
If you’re interested in cryptocurrency regulation, you’ll probably want to read this article about Ripple’s lawsuit against the SEC:
Ripple CEO Certain About Crypto’s Success in XRP Lawsuit
Looking for ways to spend your cryptocurrency? This article discusses XRP Healthcare’s XRPH token:
XRP Healthcare Halts XRPH Swaps to Drive Token Scarcity
