The whale moves 25 million XRP and analysts expect the price to fall further to $0.55.
The cryptocurrency market lost 2.58% in market capitalization over the last 24 hours. Not only Bitcoin and Ethereum, but also XRP felt the heat with notable price drops. What caught the eye of analysts was the massive movement of 24.6 million XRP to Bitstamp, a large cryptocurrency exchange, coinciding with the price drop.
Transfer 25 million XRP to Bitstamp
Whale Alert, a platform that monitors on-chain data, recently reported a transaction moving 24.6 million XRP to Bitstamp. The transfer, which originated from an unknown wallet address, took place on December 18 despite continued price declines.
Perhaps this unknown wallet has been continuously involved in recent large-scale XRP transfers to centralized exchanges (CEXs). However, the repeated nature of XRP being transferred to Bitstamp and Bitso has become notable, especially after Ripple strategically acquired stakes in these exchanges.
Meanwhile, the recent decline in the price of XRP has sparked a range of speculations across the broader cryptocurrency market, fueling bearish sentiment towards the token.
XRP Price: Awaiting a Correction?
Crypto analyst Ali on X has some thoughts on where the price of XRP is headed. Ali believes that if XRP continues to move towards the $0.75 target, it could pull back around $0.55.
The analyst also points out that XRP is moving within a rising parallel channel and a rejection at the channel midline could push it back towards the lower boundary of $0.55.
Currently, XRP has settled at $0.6062, down 1.57% in the last 24 hours. Additionally, the token has fallen 3.56% over the past week, reflecting the prevailing bearish sentiment surrounding the token.
Mixed feelings despite clearer rules
Many traders are optimistic as they anticipate a favorable resolution in Ripple’s lawsuit with the U.S. Securities and Exchange Commission (SEC), but opinions remain divided. The Ripple IPO and potential approval of a spot Bitcoin ETF add to the uncertainty. However, some believe regulatory issues may be less influential than other factors.
Panos Mekras, co-founder of Anodos Finance, echoed this sentiment, arguing that the Ripple lawsuit has had a diminished impact on the price of XRP.
He emphasized that XRP’s security status has been lifted, allowing the ecosystem to evolve with numerous projects building on its foundation.