- XRP whales have acquired a staggering 1.1 billion XRP.
- Historical patterns suggest that whale accumulation often precedes price increases for XRP.
- XRP Ledger experienced a remarkable surge in network activity.
A recent analysis of Santiment data by crypto analyst Ali has provided valuable insights into the activities of XRP whales in the cryptocurrency market. The findings highlight the significant influence these entities possess, as their unconventional transactions have started to shape the sentiments surrounding the market.
Ali’s analysis has revealed the astounding accumulation of 1.1 billion XRP, valued at around $570 million, by whales since February. These XRP whales have been strategically and actively acquiring the cryptocurrency since the beginning of 2023, capitalizing on moments of market decline or consolidation to fortify their holdings.
Whales seized the opportunity amidst a 12% decline in late June and acquired a staggering 360 million XRP, which equated to $170 million. This intriguing occurrence bears resemblance to a historical precedent observed in late 2020, wherein a similar circumstance heralded a significant surge in the XRP/USD pair.
XRP Shines in Q2 of 2023 with Near Yearly High
In March, XRP witnessed a notable surge, reaching highs of $0.545. This positive momentum continued into the second quarter of 2023, as reported by Messari, with XRP’s circulating market cap experiencing a 42.5% year-to-date increase primarily driven by its price surge in the first quarter.
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Despite a dip in early May, the price of XRP nearly reclaimed its yearly high achieved in late March during the month of June. Additionally, the XRP Ledger has showcased impressive network activity in the last quarter.
On May 28, 2023, a remarkable 523,000 addresses received transactions, which is nearly 11 times the daily average observed in the second quarter. This notable surge in address activity marked the second-highest recorded in the history of the XRP Ledger.
On the Flipside
- The historical precedent of whale accumulation preceding a price rally in late 2020 does not guarantee a similar outcome in the current market conditions.
- The formation of a cup and handle pattern does not always result in a bullish breakout, and investors should exercise caution and consider other technical indicators and market factors before drawing conclusions.
Why This Matters
The substantial accumulation of XRP by whales, alongside the formation of a potential bullish pattern and the impressive network activity on the XRP Ledger suggest that XRP could be on the cusp of a significant price movement, holding the potential to impact the market and attract attention from crypto enthusiasts and investors alike.
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To stay updated on the favorable outcome of Ripple’s ongoing class action and its potential implications for the industry, read here:
Ripple Class Action: A Favorable Outcome Could Be a Game Changer
