XRP, the native token of Ripple, has recently managed to maintain its $2 support floor, largely fueled by significant whale activity. Blockchain observer Whale Alert reported that a staggering 90 million XRP tokens, worth approximately $202.5 million, were transferred to unidentified wallets in a single day, signaling potential long-term accumulation. These transfers involved two major movements: 50 million XRP (valued at $112.5 million) and 40 million XRP (worth $90 million), both moved to newly created wallet addresses.
🚨 🚨 🚨 🚨 🚨 50,000,000 #XRP (111,697,462 USD) transferred from #Ripple to unknown wallethttps://t.co/nWwkUGOhWA
— Whale Alert (@whale_alert) December 21, 2024
What stands out about these transactions is that the receiving wallets are not linked to major cryptocurrency exchanges, sparking speculation that large institutional investors or high-net-worth individuals could be building a strategic position in XRP. Whale activity of this scale often suggests accumulation, which typically signals less selling pressure and can be a bullish sign for the price.
Ripple’s Performance and Institutional Backing
The recent surge in XRP’s price, currently sitting at $2.25 (up 0.35% in the past 24 hours), coincides with Ripple’s significant market growth. Since November 5, XRP’s price has quadrupled, reflecting a Year-To-Date (YTD) gain of 266%. Analysts are taking note of these movements, suggesting that the large transfers to unknown wallets could indicate accumulation plans, a sign that investors are holding for the long term.
Scott Melker, a hedge fund manager, pointed out that the sustained buying is further supported by reports suggesting that former U.S. President Donald Trump is acquiring XRP alongside other tokens like HBAR. This emerging institutional interest adds to XRP’s strong market performance and fuels optimism for future price growth.
Ripple’s Strategic Moves Amid Market Uncertainty
Despite the volatility in the broader crypto market, Ripple continues to innovate. On December 17, Ripple introduced the Ripple USD (RLUSD), a fully-backed U.S. dollar stablecoin on the XRP Ledger, further cementing its role in the financial ecosystem.
From a technical perspective, XRP’s chart shows mixed signals. The Awesome Oscillator has hinted at a possible bullish divergence, but experts believe further accumulation is needed to build momentum. Key support is identified at $2.20, while potential resistance levels lie at $3.62 and $4.30. If XRP breaks past these resistance levels, it could see further gains, potentially reaching as high as $5.73. However, a drop below the support could lead to panic selling, potentially causing short-term price corrections.
Also Read: Bitstamp Predicts XRP’s Historic Surge in 2025: Key Reasons to Be Bullish on XRP’s Future
As XRP continues to attract institutional interest and innovation from Ripple, its market outlook remains positive, with many analysts closely watching for further price movements and strategic developments.
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.
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