Investors are casting their gaze towards Ripple’s XRP as a considerable sum of $112.5 million was reported stolen, coinciding with significant whale transactions within the cryptocurrency’s network. These movements have propelled XRP into the spotlight, with widespread speculation taking hold throughout the market. A notable event tracked by Whale Alert saw a transfer of 29 million XRP, valued at $14.72 million, from an undisclosed wallet to a prominent centralized exchange (CEX).
Whale Transactions and Market Impact
Alongside these whale activities, XRP’s market price experienced a downturn. The dip in value came in tandem with the transfer of a substantial amount of XRP to exchanges. A specific instance highlighted by Whale Alert detailed a transfer of 29 million XRP to Bitstamp, a well-known exchange platform, on February 5th. Following these events, XRP’s price stabilized just over the $0.50 mark despite the preceding decline.
The cryptocurrency community, composed of traders and investors worldwide, has taken note of the whales’ exchange transactions. Simultaneously, market indicators like derivative data have shown a downturn in both trading activity and investor sentiment in relation to XRP. Open interest rates for XRP dipped by 3.4%, dropping the value to $547.29 million, while option volumes also plummeted by 46.56% to $584.98.
Current State of XRP’s Market
Recent analysis displays a 1.90% fall in XRP’s price within a day, trading at $0.5044. The weekly statistics further underscore a 3.92% decrease in value. XRP’s market capitalization also took a hit, decreasing by 1.16% to $27 billion, accompanied by a 32.70% fall in trading volume, now amounting to $600 million.
The adverse effects on XRP’s market conditions are partly attributed to a hacking incident involving Ripple’s co-founder, Chris Larsen, leading to the loss of 112.5 million XRP from his personal wallets. This theft has compounded the existing market turbulence, feeding into the spreading rumors and investor wariness.