- Ripple whales holding 100 million XRP and higher shed 140 million tokens in seven days.
- XRP retail investors accumulated the coin in the same time frame.
- XRP slips under support at $0.60, trades at $0.5950 at the time of writing.
Ripple (XRP) posts a second consecutive session of losses on Monday, dipping under the key psychological support of $0.60, as large-wallet investors seem to have engaged in a selling spree, ushering a correction in the price of XRP Ledger’s native token.
Daily digest market movers: Ripple on-chain metric shows sell-off by whales
- Santiment data shows XRP investors holding 100 million or more tokens reduced their portfolio by 140 million coins in a seven-day time frame between August 19 and 26. When large-wallet investors drop their holdings, a correction is more likely as their bigger capacity to influence prices increases the selling pressure.
- However, as whales shed their XRP token holdings, retail investors accumulated the altcoins. This is likely one of the factors that help ease the selling pressure on the XRP. The supply distribution chart below shows the change in XRP holdings of investors in different categories.
XRP supply distribution
- Generally, a decline in whale holdings is followed by a correction in the asset’s price, as seen in previous instances in the last six months. It remains to be seen whether the recent decline will lead to a steeper correction for XRP.
- The Network Realized Profit/Loss metric (NPL), which represents the net profit/loss of all assets sold on a given day, also suggests that investors are opting to sell XRP to realize gains. Positive spikes in the NPL suggest that investors on average sold on profits, while negative values represent that traders realized losses.
- Between August 19 and 26, XRP traders consistently took profits, approximately $35.5 million, per Santiment data. Typically, consistent profit-taking increases the selling pressure on the altcoin, thus negatively influencing its price.
Network realized profit/loss
- Ripple CEO Brad Garlinghouse recently shared the speaker lineup for the annual flagship event Ripple Swell 2024. The upcoming event is another key market mover for the altcoin since historically XRP prices have noted heightened volatility before and during the event.
I'm most certainly biased, but this Ripple Swell 2024 speaker list (and @Bloomberg as our official media partner) will be the best yet! https://t.co/tYDOtdKtAT
— Brad Garlinghouse (@bgarlinghouse) August 22, 2024
Technical analysis: XRP loses key support
Ripple is currently in a multi-month downward trend. The altcoin fell significantly from its peak of $0.9380 on July 13, 2023, to the July 5, 2024, low of $0.3823. Since then it has recovered somewhat, trading in a sideways trend for the last month. In case of a correction, XRP could erase another 12% of its value and sweep liquidity at $0.5188, the lower boundary of the Fair Value Gap (FVG) seen in the XRP/USDT daily chart.
The Moving Average Convergence Divergence (MACD) momentum indicator flashes green histogram bars above the neutral line, suggesting that XRP has an underlying positive momentum. However the Relative Strength Index (RSI) reads 52.80 on the daily time frame, close to neutral levels.
Traders need to watch the signal line and MACD line for a crossover. If the MACD line crosses under the signal line, it could give a sell signal.
XRP/USDT daily chart
Looking up, XRP could extend gains to the Fair Value Gap extending between $0.5970 and $0.6217.
Ripple FAQs
Ripple is a payments company that specializes in cross-border remittance. The company does this by leveraging blockchain technology. RippleNet is a network used for payments transfer created by Ripple Labs Inc. and is open to financial institutions worldwide. The company also leverages the XRP token.
XRP is the native token of the decentralized blockchain XRPLedger. The token is used by Ripple Labs to facilitate transactions on the XRPLedger, helping financial institutions transfer value in a borderless manner. XRP therefore facilitates trustless and instant payments on the XRPLedger chain, helping financial firms save on the cost of transacting worldwide.
XRPLedger is based on a distributed ledger technology and the blockchain using XRP to power transactions. The ledger is different from other blockchains as it has a built-in inflammatory protocol that helps fight spam and distributed denial-of-service (DDOS) attacks. The XRPL is maintained by a peer-to-peer network known as the global XRP Ledger community.
XRP uses the interledger standard. This is a blockchain protocol that aids payments across different networks. For instance, XRP’s blockchain can connect the ledgers of two or more banks. This effectively removes intermediaries and the need for centralization in the system. XRP acts as the native token of the XRPLedger blockchain engineered by Jed McCaleb, Arthur Britto and David Schwartz.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
![Ethereum bulls could stage 30% rally following Fed Chair's keynote, withdrawing over 284K ETH from exchanges](https://editorial.fxstreet.com/images/Markets/Currencies/Digital%20Currencies/Ethereum/Ethereum_Coins_31_03_XtraSmall.jpg)
Ethereum bulls could stage 30% rally following Fed Chair's keynote, withdrawing over 284K ETH from exchanges
Ethereum is up over 6% on Friday as bulls have initiated heavy buying pressure following indications from US Federal Reserve (Fed) Chair Jerome Powell that an interest rate cut is imminent.
![SUI, OP, ZETA lead $160 million crypto token unlocks next week](https://editorial.fxstreet.com/images/Markets/Currencies/Cryptocurrencies/Sui/sui-sui-logo_XtraSmall.png)
SUI, OP, ZETA lead $160 million crypto token unlocks next week
The crypto market will witness another round of heavy token unlocks next week, with $164.2 million of cliff unlocks entering into the circulating supply of several top altcoins, per crypto intelligence firm Token Unlocks.
![XRP trades above $0.60, Ripple whales shed token holdings](https://editorial.fxstreet.com/images/Markets/Currencies/Cryptocurrencies/cryptocurrenciesusd_XtraSmall.jpg)
XRP trades above $0.60, Ripple whales shed token holdings
Ripple whales holding between 1 million and 10 million XRP tokens slightly decreased their holdings between August 22 and 23. XRP retail traders holding less than 1,000 tokens accumulated the asset, while whales dropped their assets.
![Here's why Bitcoin and the crypto market rallied after Fed Chair's speech](https://editorial.fxstreet.com/images/Markets/Currencies/Digital%20Currencies/Bitcoin/bitcoins-33758372_XtraSmall.jpg)
Here's why Bitcoin and the crypto market rallied after Fed Chair's speech
Bitcoin has gained nearly 5% alongside a rally across the crypto market in the past 24 hours following indications of interest rate cut from Fed Chair Jerome Powell's keynote on Friday morning.
![Bitcoin: Can BTC break above $62,000 barrier?](https://editorial.fxstreet.com/images/Markets/Currencies/Digital%20Currencies/Bitcoin/bit-coin-symbol-flag-3d-illustration-59931110_XtraSmall.jpg)
Bitcoin: Can BTC break above $62,000 barrier?
Bitcoin (BTC) trades above $60,000 on Friday, gaining more than 4% this week so far, but fluctuating within a range between $57,000 and $62,000 for the last 15 days. On-chain data shows contradicting signs, with institutions accumulating Bitcoin while some whales are selling. Additionally, the US spot Bitcoin ETFs recorded inflows this week, and continued Mt.Gox fund movements could bring volatility in Bitcoin's price in the coming days.
![Moneta Markets review 2024: All you need to know](https://editorial.fxstreet.com/images/IT/Testing/Review/FXSBadgeCertifiedBackg_XtraSmall.png)
Moneta Markets review 2024: All you need to know
VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.