$40 Billion in XRP Transfers – Destination Insights?

The latest on-chain data indicates more than $40 billion in XRP has shifted in the past week, placing the cryptocurrency under pressure. This transfer largely involved exchanges, suggesting a potential risk of significant sell-offs.

Over $40 Billion XRP Transferred to Exchanges

Data indicates that upwards of $40 billion was moved to Binance in the last week, causing the exchange’s reserves to increase notably. Such a trend is often interpreted as bearish, implying that investors are preparing to sell their holdings. This comes alongside a surge in XRP’s price, which peaked around $2.6, prompting some profit-taking actions.

Further Insights

Additionally, analyst Ali Martinez noted that Bitcoin whales are taking profits, unloading over 30,000 BTC this week. This trend may be mirrored by XRP’s larger investors, with reports indicating that XRP has reached oversold conditions as net flows trend negative, intensifying sell-offs.

This current selling trend is exacerbated by Judge Analisa Torres’ recent decision in the Ripple SEC case, which represents a setback for XRP. The judge denied a motion for an indicative ruling due to procedural issues, triggering a sell-off that led to a decrease of over 4% in XRP’s value.

XRP is in danger of losing its bullish momentum, with the critical support level identified at $2.38. A drop below this could signal a deeper market correction. Conversely, maintaining above this threshold might pave the way for a resurgence in prices, as analysts suggest there are no significant resistance barriers ahead. CasiTrades cautioned that failing to hold above the $2.69 resistance could direct XRP’s price toward $2.30 for a necessary correction.

Altcoin Exhibits Double Bottom Pattern

Analyst Egrag Crypto shared in a post that XRP has established a double bottom after dipping to $2.3126, demonstrating resilience as it bounces off a descending trend line. He mentioned that XRP is currently experiencing minor fluctuations within the range of Fibonacci levels between $2.30 and $2.62.

Further Insights

The accompanying visuals indicate that it is crucial for XRP to sustain above the $2.3 trend line. A rebound at this level could propel the altcoin towards $3.8, nearing its previous all-time high of $3.84. Based on its past performance, Egrag Crypto anticipates a further rally in the price, potentially reaching between $27 and $33 in this market cycle.

At present, XRP’s trading price sits around $2.37, reflecting a decrease of nearly 2% within the last 24 hours, according to recent data.