An XRP whale dumped nearly 52M coins to exchanges, causing bearish investor concerns amid the XRP price upswing.
The Ripple-backed cryptocurrency, XRP, has been experiencing a significant upward momentum. A whale has decided to transfer many coins to centralized exchanges. In the past 24 hours, nearly 52 million coins were disposed of after XRP’s recent price recovery, as evidenced by on-chain statistics.
This has caused significant apprehension among investors about the asset’s future price movement. Therefore, we will delve further into the on-chain market data and speculator activity surrounding XRP.
Bearish Concerns in Response to XRP Whale Dump
Notably, significant token transfers to exchanges frequently serve as a bearish market factor, negatively impacting prices due to the increased supply.
In this regard, data from Whale Alert, an on-chain transaction monitoring platform, indicates that a well-known XRP whale collectively dumped 52.54 million XRP to two CEXs within the past day.
Bitstamp, a Luxembourg-based crypto exchange, received 30.04 million XRP, equivalent to $14.53 million. Concurrently, the same whale transferred 22.60 million XRP, valued at $10.93 million, to Bitso, an exchange in Mexico.
As previously indicated, these transactions elicited bearish sentiments among crypto market participants, emphasizing a sense of heightened selling pressure.
Nevertheless, XRP has traded in the green today due to the U.S. CPI data announcement, defying conventional market expectations and aligning with the broader crypto market recovery-like trend.
XRP was trading at $0.4877 as of this writing, representing a 1.26% increase from the previous day. The token’s market capitalization was $27.06 billion. Today’s daily lows and peaks are $0.4783 and $0.4975, respectively.
Concurrently, the recent optimistic announcement for the XRP ledger (XRPL), XRP’s blockchain, is consistent with the price increase. Ripple is discussing introducing a new stablecoin, RLUSD, to stabilize transactions within XRPL.
Nevertheless, the futures OI experienced a 1.55% decline, while the derivatives volume increased by 2.90%, implying that the present market sentiments regarding the asset are uncertain. Investor interest in the asset decreased despite significantly increasing trading activity in the futures market.
Additionally, the RSI’s persistent movement toward 38 underscored downside pressure on the asset. This could indicate that XRP may experience a period of volatility in the future. Nevertheless, the Ripple-backed crypto price may experience a substantial price rebound if the RSI enters an oversold region.
