Ripple's Alarm for Selling: Acceleration After XRP's Rise!

The price of XRP (XRP) has gained over 300% in the last 8 months, surpassing the $2 level, while intense selling pressure from early investors is making it difficult to break the critical resistance at $2.20.

As one of the recent stars of the cryptocurrency market, XRP continues to please its investors with its price performance. Last October, XRP was trading at around 60 cents, and it is now priced above $2. This rise has provided over 300% gains to those who invested early. However, the high profits realized have prompted investors to take profits, resulting in intense selling pressure in recent weeks.

According to on-chain analysis platform Glassnode, XRP investors realized an average of $68.8 million in profits on a daily basis. This figure has reached its highest level in the past year, creating a selling pressure that makes it difficult for XRP to surpass the critical resistance level of $2.20.

Despite the strengthening of Ripple with regulatory clarity in the US and developments in asset tokenization, XRP struggles to maintain its price increase due to sales from long-term investors. The sales from early investors are limiting XRP's rise potential in the short term.

According to CryptoQuant analyst Burak Kesmeci's report, a total of $36 billion in negative capital outflow occurred in the altcoin markets over the past year.

Experts emphasize that for a broad-based bull season in the altcoin market to begin, investor risk appetite needs to increase again. If capital inflows to DeFi, Layer 1, and gaming sectors do not increase, a widespread altcoin rally, including XRP, seems unlikely to occur during the summer period.