The XRP price has yet to recover from the latest attack, which led to Ripple co-founder Chris Larsen being hacked and 213 million XRP worth $120 million stolen. This appears to have further alarmed the depleting whale account base, as on-chain data indicates that XRP whales have already moved out of their positions over the past few weeks.
In particular, on-chain data from whale trading tracker WhaleAlerts indicates that: Recent Transactionsn out of 29 million XRP tokens were transferred from an unknown wallet to cryptocurrency exchange Bitstamp.
Massive XRP whale transfer to cryptocurrency exchange
The behavior of whales and large holders of cryptocurrencies always seems to indicate the nature of general market sentiment. For example, XRP has been under selling pressure over the past week. This is because the price of the cryptocurrency is currently down 5.51% in 7 days.
However, recent data indicates that: continued selling pressure In the near future. For example, according to Whale Alert, 29 million XRP worth $14.7 million was transferred to Bitstamp. Similarly, 28.85 million XRP worth $14.6 million was sent to Bitstamp in another transaction. The nature of these trades likely means whales dumping their holdings, and a move like this could portend further declines.
🚨 28,850,000 #XRP (14,628,631 USD) was transferred from an unknown wallet to: #bitstamphttps://t.co/ujvPfK3ezM
— Whale Alert (@whale_alert) February 5, 2024
On-chain data from the Santiment Supply by Addresses indicator, which tracks the number of wallet addresses holding more than 1 million XRP tokens, tells a similar story. According to this metric, the number of addresses in this category has been steadily increasing, reaching 1,986 on January 28. This figure decreased to 1,957 on February 3, which indicates that 29 whale wallets reduced their holdings during this period. As of this writing, the metric is 1,962 wallets.
Source: Santiment
Will XRP price selling pressure continue?
XRP fell below $0.50 for the first time since October after news of the recent hack broke. However, the price has since recovered slightly from $0.49 and is trading around $0.50 at the time of this writing.
Despite a 27.43% increase in trading volume, the XRP price failed to register any gains in the last 24 hours and fell by 0.35%. Over a larger period, the cryptocurrency fell 10.6% in 30 days, with price movements indicating the formation of lower highs and lower lows. As a result, if selling pressure continues and the current minor support at $0.501 is not maintained, XRP could fall lower and form a lower low around $0.48.
According to cryptocurrency analyst EGRAG CRYPTO, known for its bullish stance on XRP, believes the current downturn is the perfect opportunity. Accumulate more tokens It suggested that the price of XRP could soon soar to $22.
XRP price struggles amid unfavorable market headwinds | Source: XRPUSD on Tradingview.com
Featured image from U.Today, chart from Tradingview.com
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