XRP’s recent price correction has stirred significant market activity, especially among large-scale investors. Following a dip that briefly pushed the token below the $2 mark, whales—crypto’s term for large investors—have moved quickly to seize the opportunity. According to renowned crypto analyst Ali Martinez, over 100 million XRP tokens were purchased during the market dip, signaling strong confidence in the token’s long-term prospects.
In the recent dip, whales bought over 100 million $XRP! pic.twitter.com/xU2YscIkvj
— Ali (@ali_charts) December 11, 2024
On December 11, Martinez highlighted the recent surge in whale activity, stating, “In the recent dip, whales bought over 100 million $XRP!” This move comes as retail traders were selling off their positions, creating a perfect buying opportunity for institutional investors and high-net-worth individuals. XRP’s price, which had briefly touched a low of $1.92, has since rebounded to $2.38, marking a 7.20% increase within the last 24 hours. The token’s market cap now stands at a robust $136.22 billion, with a 24-hour trading volume of $24.11 billion—up 13.54% in a day.
Whale Activity Underpins Bullish Sentiment
Blockchain data from Whale Alert reveals even more dramatic whale activity. Ripple, the company behind XRP, recently transferred 200 million XRP—worth around $463 million—to an unknown wallet, further fueling speculation that strategic accumulation is underway. Additionally, CryptoQuant data shows that over the past 30 days, whales have moved a staggering 2.66 billion XRP to Binance, marking the largest volume shift since April 2024, when a similar amount of XRP was transferred to exchanges.
This massive influx of XRP into the hands of major players is being interpreted as a bullish signal, suggesting that these investors are positioning themselves for significant gains. The timing is crucial, as Ripple is poised for several potential developments that could further influence XRP’s price trajectory, including the highly anticipated Ripple IPO and the launch of a Ripple-backed stablecoin.
Factors Driving XRP’s Momentum
Several factors are contributing to the current surge in XRP’s momentum. One of the most significant catalysts is the legal clarity XRP received in recent months. A landmark ruling declared that XRP is not a security, removing a long-standing regulatory cloud that had hindered its growth. This ruling has paved the way for XRP to gain wider institutional adoption.
Another key driver is the optimism surrounding the possibility of a more crypto-friendly U.S. administration. With increased market confidence in the regulatory environment, investors are increasingly turning to assets like XRP, which now seem less likely to face regulatory challenges compared to other cryptocurrencies.
XRP Price Outlook: Volatility and Potential Resistance
Despite the bullish sentiment, XRP’s price remains volatile, and market participants are keenly watching for any signs of further upward momentum. The token is currently trading above the critical $2.23 support level, which remains a key point to watch in the coming days. If XRP can break through the psychological resistance at $2.94, a move toward $3 becomes a strong possibility.
As whale accumulation continues and broader market conditions remain favorable, XRP’s future appears promising. However, like all cryptocurrencies, the token’s volatility ensures that investors must remain cautious even in the face of promising developments. For now, XRP’s market movement offers a glimpse into its potential growth, with large investors betting on its long-term success.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: XRP Price Prediction: Analysts See $5 Rally on the Horizon as Key Resistance Break Looms
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