XRP has recently experienced significant fluctuations as major investors shifted substantial holdings to Binance, marking the highest transfer volume in seven months. This influx coincides with a period of intensified selling pressure, with XRP prices dipping below the 100-day moving average and trading around $1.30.
Whale Movements Intensify
According to data from CryptoQuant, nearly 1.6 billion XRP have been transferred to Binance over the last 30 days, drawing parallels to levels witnessed earlier in April. From about 400 million XRP at the end of July, the volume of transfers has escalated nearly fourfold within less than three months.
The single highest day of inflow was recorded in mid-August, coinciding with XRP’s ascent toward $1.70. These sizeable transfers to exchanges highlight potential market implications, as they could lead to increased selling activity.
“Increased whale inflows to centralized exchanges could raise the tradeable quantity of XRP and amplify sale pressure risks.”
However, an inflow into an exchange does not necessarily confirm an imminent sale. Still, such substantial movements could facilitate smoother execution of possible sales.
Weakening Price Outlook
After approaching $1.66 at the end of September, XRP has declined by approximately 20%. The price has slipped below both the 100-day and the 200-day moving averages near $1.38, compounded by a drop in trading volume.
The Relative Strength Index (RSI) stands at 35, indicating weak momentum but not yet suggesting oversold conditions. The near-term focal point is around $1.28, with a major support area identified between $1.00 and $1.05.
Network Data Provides Mixed Signals
On the blockchain side, a more complex picture emerges. The daily transaction count remains stable at approximately 2.4 million, while active accounts have risen by 10%. In contrast, payments have declined by 38%, and payment volume has fallen by 52%.
This scenario indicates increased wallet activity, albeit with diminished value transfer through payments, pointing to a focus on trading rather than network usage growth.
“For XRP to regain strength in favor of buyers, it needs to break back above $1.38.”
As long as the price remains beneath this threshold, sellers retain short-term dominance. If whale inflows persist and XRP stays below $1.30, a further retreat toward $1.20 could be possible. Conversely, if inflow activity slows and support holds near $1.28, recent declines might be confined to a narrower correction.
