XRP token whales accumulate more tokens amid market price drop
XRP token whales are reportedly taking advantage of low-price opportunities to accumulate more coins. Data revealed that large XRP wallet holders are withdrawing their tokens from exchanges despite the token’s price drop. One whale reportedly transferred over 26 million coins from Binance to an external wallet.
Data indicates increased whale interest in XRP tokens as more buyers take advantage of the current price drop. The crypto market experienced major sell-offs in the past few days, with significant price drops among all digital assets. XRP buying activity reportedly increased amid the crash as more whales bought the coins from exchanges and transferred them to private wallets.
XRP token whales hold more tokens despite price decline
Data revealed that XRP whales have taken an interest in accumulating more XRP tokens despite the drop in cryptocurrency market value.
XRP registered an 18% price drop in 24 hours on Monday, followed by a slight recovery on Tuesday that brought the coin back to its multi-month support level above the $0.5 mark. At the time of writing, the token is trading at $0.52.
XRP whales are on a buying spree, snapping up millions of coins! 📈 With high FOMO and bullish patterns, could XRP be poised for another explosive rally? 🌐💎 #XRP #Crypto #Ripple pic.twitter.com/lKPbVdyBIK
— CryptoTraders.com (@ct_central) August 4, 2024
Despite the plummet, data indicates that large XRP token wallet holders remain reluctant to release their tokens. The whales are reportedly taking advantage of the opportunity to buy the dip across various exchanges.
WhaleAlerts mentioned that major whales transferred substantial amounts of XRP from various exchanges to private and unknown wallets. The on-chain data analytics platform pointed out one particular transaction worth over $12 million from Binance to an unknown wallet.
WhaleAlerts also revealed that the transaction is part of a larger trend that illustrates a reluctance to sell the tokens. In the past 24 hours, over $75 million worth of XRP tokens were moved to private addresses from major exchanges.
Whale accumulation could lead to XRP’s price increase
WhaleAlerts also reported an accumulated 228.54 million XRP token transfer from various exchanges in the past 48 hours.
Data from Santiment revealed that whale accumulation of XRP tokens has significantly increased in the past few months. Santiment stated that more wallets hold between 10,000,000 and 100,000,000 XRP tokens now than three months ago.
The on-chain data analytics platform also suggested that the increased XRP token accumulation by the whales indicated investors are ready to re-enter the cryptocurrency market.
Observers pointed out the behavior illustrates optimism in XRP’s long-term performance amid the overall market price drop. They added that increased holding reduces selling pressure and is often followed by price gains.
This crash which pushed XRP to an oversold position was a result of the SEC’s lawsuit against Ripple. Despite this the contraction eventually resulted in an XRP upsurge to $1.96 in April 2021.
WhaleAlerts data also revealed contrasting trends, with more sell-offs in the past 24 hours. Over $15 million worth of XRP tokens were transferred from a private wallet to the exchange Bitstamp.
