Ripple’s XRP has taken a significant hit, dropping 8% in just 24 hours as whale selling triggers intense market volatility. This sudden downturn has left traders scrambling to understand the implications for XRP’s future. Let’s dive into the key factors driving this movement and what it means for investors.
XRP Price Plunge: Whale Activity Shakes the Market
The cryptocurrency witnessed a dramatic fall from $3.17 to $2.90, with the most severe drop occurring during midnight trading on August 1. Key details of the sell-off include:
- 259.21 million XRP traded in one hour (4x normal volume)
- $28 million in daily whale selling over past 90 days
- $107 million in exchange losses recorded
Ripple XRP Shows Signs of Accumulation Despite Sell-Off
While whale selling dominated headlines, on-chain data reveals a surprising counter-trend:
| Metric | Value |
|---|---|
| XRP accumulated | 310 million tokens ($1B) |
| Whale purchases | 60 million XRP recently |
| Address growth (10M-100M XRP) | Significant increase |
XRP News: Technical Analysis Reveals Critical Levels
Analysts identify these key price points that could determine XRP’s near-term direction:
- Resistance: $3.23 (bullish breakout level)
- Support: $2.80 (short-term), $2.65 (critical)
- 50-day EMA: Aligns with $2.65 support
Cryptocurrency Volatility: What’s Next for XRP?
Despite the current turbulence, several factors suggest potential resilience:
- Monthly candle shows underlying bullish momentum
- Institutional interest appears to be growing
- Ripple CTO reaffirms XRP Ledger’s importance
The recent XRP price action demonstrates the cryptocurrency’s volatile nature, yet also reveals intriguing accumulation patterns beneath the surface. While whale selling has created short-term pressure, the simultaneous accumulation by large holders suggests a more complex market dynamic at play. Traders should watch the $2.65 support level closely, as it could determine whether this correction turns into a buying opportunity or extends into deeper losses.
Frequently Asked Questions
Why did XRP price drop 8%?
The decline was primarily driven by whale selling, with large holders offloading approximately $28 million worth of XRP daily over the past 90 days.
Is this a good time to buy XRP?
While the price is under pressure, accumulation by whales and the $2.65 support level could present an opportunity for long-term investors.
What are the key support levels for XRP?
Analysts identify $2.80 as short-term support and $2.65 as a critical level that aligns with historical support and the 50-day EMA.
Are whales still buying XRP?
Yes, on-chain data shows whales have accumulated 60 million XRP recently, suggesting they’re preparing for potential future price recoveries.
How does this affect Ripple’s business?
Ripple’s CTO has reaffirmed XRP Ledger’s importance to their liquidity products, suggesting the company remains committed to the token’s ecosystem.
