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XRP Whale Dumps 31 Million Coins Amid Price Crash, What’s Next?
XRP, the one backed by Ripple cryptocurrency, recently witnessed significant activity when a whale offloaded a substantial amount of coins to centralized exchanges. Network statistics revealed that nearly 31 million XRP coins were dumped amid the recent price recovery in the last 24 hours. This action, like any other whaling activity, has also raised concerns among investors regarding the future price action of the asset.
XRP Whale Activity and Market Impact
Huge symbol Dumps on stock exchanges are normally perceived as indicators of market decline, as they increase supply and can negatively impact prices. According to data from Whale Alert, an on-chain transaction tracking platform, a well-known XRP whale transferred 30.350 million XRP to two centralized exchanges (CEXs)
Last day.
This significant movement valued at US$14.53 million was mainly directed at Bitstamp, a Luxembourg-based cryptocurrency exchange, signaling increased selling pressure. These transactions have generated pessimistic sentiments among crypto market participants, as these large-scale sales often lead to price drops. The selling pressure created by this dumping can upset the market balance and lead to greater volatility.
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Current Market Conditions and Future Prospects
In the last update, the price of XRP is at $0.4872 with a 24-hour trading volume of $661,747,811.30, reflecting a -0.38% decline over the past 24 hours and a -2.04% decline over the past week. With a circulating supply of 56 billion XRP, the cryptocurrency’s market value is valued at $27 billion. Despite the recent drop in prices, the market has shown signs of resilience, partially influenced by the positive news surrounding the XRP Ledger (XRPL).
Ripple’s discussions to introduce a new stable coin, RLUSD, which aim to stabilize transactions within the XRPL, have contributed to cautious optimism among investors. Furthermore, future open contracts (OI) saw a 0.21% increase to reach $416.1 million, while derivatives volume increased by 5.16%, indicating mixed market sentiments.
These metrics suggest that although trading activity in the futures market has slowed, overall interest in XRP remains robust. O Relative Strength Index (RSI) hovering near 47.04 highlights the negative pressure on XRP, suggesting potential turbulent moves ahead. If the RSI rises into oversold territory, XRP could experience a significant price recovery.
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