XRP Shock: 70M Transfer Puts $2 Price at Risk
In a single transaction, almost $70 million worth of XRP changed hands, and the market took note of it. The moment when price is oscillating close to $1.87, even normal blockchain operations may seem like purposes. The transaction amount was 69,999,999 tokens, approximately $131 million, and it was highlighted by Whale Alert as a movement from one mysterious wallet to another mysterious wallet. Just that tag was sufficient to bring back the old fears.
XRP holders’ anxiety is not new. Usually, the huge transactions come before supply being sold on exchanges. During such times, liquidity decreases, spreads become larger, and price drops quickly. The past of Ripple with treasury sales still has a negative impact on the overall mood, though the proof is meagre. The transfer in question was precisely in the danger zone, it was too huge to be overlooked, but at the same time, it was not so big as to be considered just noise.
Also Read: XRP Price Forecast: Will XRP Break $2.75 and Ignite a Rally Toward $15?
XRP Whale Transfer Reignites Selling Fears
The deal had significant impact based on the current price. XRP was fluctuating within a narrow range, and market participants were very cautious around the local highs. The first routing did not provide much information, and that just added to the guessing. Similar situations in the past have resulted in the coins being moved to the exchange wallets and putting pressure on the spot market.
This is the reason why the first reaction was bearish. It is the nature of traders to take risks that will later be backed. When uncertainty and volume meet, the price usually reacts. Ripple went through that momentary strain as rumours about it circulated through the social feeds.
XRP Binance Explanation Shifts Market Narrative
The arrival of context shifted the atmosphere. The Twitter account, “XRPWallets,” which mainly deals with Ripple and its token, disclosed that the transfer was a simple movement between one subwallet of Binance and another. Such moves are quite common. Cryptocurrency exchanges transfer money between hot and cold wallets, to rebalance their holdings, and to allocate liquidity for high trading days. These transfers on the blockchain can create a negative impression, even if no sales are involved.
Should the Binance account be true, the premise is very easy. The market considers the transfer as a non-event. The XRP remains in the same price area between $1.85 and $1.80, and the fluctuation of the price disappears. It seems that this is the present position, as the price is still around $1.87.
However, the threat is still there. In case the coins turn up later on the already established distribution paths, the mood would change rapidly. Investors would start to take the new supply into account in their pricing. In that scenario, XRP might reach $1.85 before $1.80 in a short time. A decisive movement would allow the price to go down to $1.75 and $1.70.
The way forward is much less complicated now. In case the correction of fear goes all the way, and at the same time, XRP gets back to $1.95, then the mental barrier of $2.00 will again be the target. Apart from that, the area of $2.10–$2.20 is already there. At this point, Ripple is just doing what it usually does, leaving the market in doubt until the next confirmation comes through.
Also Read: XRP Faces Brutal $1 Breakdown Risk: Warning Signals
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