Ripple Labs and top whale addresses have transferred 218 million XRP tokens in six transactions. These tokens are worth approximately $81 million at the time of the transactions.
Whales get busy as Ripple unlocks escrow tokens
Whale alarm reports that XRP whales moved 168 million XRP over five transactions, with the first transaction involving moving 50 million XRP from Crypto.com to an unidentified wallet address.
— Whale Alert (@whale_alert) May 8, 2023
A wallet address has also been transferred 31 million XRP tokens to the Bitstamp exchange and two Bittrex wallets exchanged 30 million XRP.
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The most recent whale transaction was the transfer of the batch of 28 million XRP tokens from an unidentified wallet to the Bitstamp exchange.
On the other hand, Ripple has moved 50 million XRP tokens worth $21.4 million on May 9. While whale alert’s tweet says Ripple sent the tokens to an unknown address, reveals which is Ripple’s receiving wallet. Also, this receiving wallet distributed 7.3 million tokens to different addresses.
These 50 million XRP tokens are part of Ripple assets recently released from escrow protection in May 2023. Ripple Labs unlocked 1 billion tokens on May 1 to fulfill its monthly escrow executions. However, they returned 700 million XRP to escrow, leaving 300 million tokens.
Due to Ripple’s massive movement of coins, some Twitter users implied that the company was dumping the asset. However, another user denied the impression that dumping would require a move to Ripple or exchanges.
In particular, a lawyer who supports Ripple, Bill Morgan, implied that Ripple is not dumping its assets on the market. Ripple instead buys a lot of XRP tokens for other transactions to meet growing ODL demand.
XRP on its way to recovery?
XRP is experiencing price volatility as it attempts to initiate a price recovery. However, the trading volume has declined over 20% todaywhich could hamper its price recovery efforts.
The asset is in a sideways trend and is struggling to shake off the prevailing bearish pressure. The downward movement has stopped as it bounced off the $0.41 price level.
It is currently trading above 200 days Simple Moving Average (SMA), a bullish signal for the asset. It implies that the price is likely to rise in the long run.
Are Relative Strength Index (RSI) is 33.20 and close to oversold territory, a bearish signal. Specifically, this indicator moves sideways, reflecting the current price behavior of the asset.
Also XRPs Moving Average Convergence/Divergence (MACD) is below the signal line and shows negative values. It implies that the bears are still active in the market.
The coin found support at $0.41353 to move towards the current level of $0.43. A drop below $0.41 would return the asset back to the $0.40141 support and in a downtrend.
It faces the $0.43374 price level as the main resistance, and a break above that will help the asset retest the $0.44586 resistance level. Expect further price increases ahead if the bulls prevail.
Featured image from Pixabay and chart from Tradingview
