XRP whales are capitalizing on the current price downturn to accumulate more tokens. Recently, XRP hit a low of $0.438 following a significant selloff in the broader crypto market, which caused the value of several cryptocurrencies to plummet. This intense market decline resulted in a dramatic 20% drop in XRP’s price within a 24-hour period.
Despite this steep fall, on-chain transaction data reveals that some large holders, often known as ‘whales,’ are undeterred. These investors are seizing the chance offered by the lower prices to stockpile more XRP across various exchanges.
Recent data from whale transaction tracker Whale Alerts has uncovered an intriguing accumulation pattern among XRP holders. Over the past 48 hours, Whale Alerts has documented multiple instances of substantial XRP transfers to and from various exchanges. The majority of these transfers involve moving significant amounts of XRP into private, unknown wallets from crypto exchanges.
The latest notable transaction recorded was a transfer of 26.69 million XRP tokens, valued at $13.6 million, from the Binance exchange to a private wallet identified as “rhWj9g.” This transaction is part of a broader trend observed by Whale Alerts, highlighting a cumulative total of 157 million XRP tokens, worth approximately $75.16 million, being moved from crypto exchanges into private wallets over the past 24 hours. Interestingly, most of these transfers originated from Binance.
In an interesting contrast to the general trend of accumulation, the data also indicates a likely selloff transaction, where 31.7 million XRP tokens, valued at $15.1 million, were moved into Bitstamp from a private wallet. This movement suggests that not all whales are focused on accumulating.
Expanding the timeframe to the past 48 hours, Whale Alerts data shows a cumulative accumulation of 228.54 million XRP tokens, worth $108.78 million, from crypto exchanges into private wallets.
This accumulation by whales could signal a future price recovery, as significant buy-ins from large holders often trigger market upswings. The strategic buying amid the price slump indicates confidence that the current downturn is a temporary setback.
Recent price action saw the cryptocurrency fall from $0.653 to $0.438 in the span of five days, effectively erasing the gains made in July. This drastic price slump pushed the cryptocurrency into the oversold region on the Relative Strength Index (RSI).
However, XRP has managed to recover some of its losses. The RSI indicator now shows an increase in buying momentum, suggesting that investors are beginning to re-enter the market.
At the time of writing, the altcoin is trading at $0.5016, reflecting a 7.11% increase over the past 24 hours. This recovery has brought XRP back to a crucial multi-month resistance and support level around the $0.5 mark, a price point that has historically served as both a floor and a ceiling for the cryptocurrency. This price point has proven to be a significant threshold, one from which XRP has struggled to break away for quite some time.
