Although the XRP price has witnessed a decline Considering the overall crypto market since early October, recent price action shows XRP consolidating at the $0.5 support level, suggesting the early stages of a recovery could be underway. In addition, data provided to the chain has revealed that some whales are expanding their holdings in preparation for recovery.
Large XRP transactions indicate accumulation
Several on-chain data have shown large XRP transactions to and from exchanges in recent weeks, indicating that some whales may be accumulating XRP tokens.
According to data from Whale Alerts, a crypto whale tracking service, 50 million XRP worth $24.8 million was recently transferred from Crypto.com to a private wallet.
50,000,000 #XRP (24,894,598 USD) transferred from #CryptoCom to unknown wallethttps://t.co/f2Zrx9pLf3
— Whale Alert (@whale_alert) October 9, 2023
Whatever the reasons, these types of massive XRP trades are worth paying attention to as they can increase or decrease buying and selling pressure.
— Whale Alert (@whale_alert) October 9, 2023
While there have been other whale moves, from private wallets to exchanges, data from crypto analytics platform Santiment points to an accumulation tactic by XRP whales. A metric that tracks the balances of wallets holding between 100,000 and 1 million XRP has risen significantly since the start of the month.
In this final seven-day period, the net cumulative balance in these wallets increased with 60 million XRP tokens from 3.77 billion to 3.83 billion. XRP is currently trading at $0.499, bringing the net increase in these whales to $29.9 million.
Price recovers as whales accumulate | Source: XRPUSD on Tradingview.com
What’s next for the XRP price – potential impact
Interest in the XRP price is now at one of its highest levels, and according to financial analysts, this is also the case for the cryptocurrency leading the way in shaking up the conventional payments industry. The number of XRP holders is also steadily rising, news shows Ripple and the SEC has continued to generate attention for XRP.
Data from Santiment below shows that this measure is now on 4.8 million wallet addresses:
Whales increase their holdings | Source: Santiment
The XRP price is down 2.11% in the last 24 hours, but trading volume is up 56.53%. Higher volume means there is more activity and interest in an asset, which could indicate a price spike. However, bulls have failed to hold on the USD 0.50 support zone, and XRP could continue to decline if it falls below USD 0.488.
With the whales piling in, key support levels holding, and the SEC lawsuit moving in Ripple’s favor, a bullish reversal could emerge for XRP. According to an analyst XRP could rise 1137% to a new all-time high of $5.85.
Featured image from Crypto News Flash, chart from Tradingview.com