$XRP Thanks to the fact that in recent days Bitcoin (BTC) has consistently been setting higher highs, many altcoins are also entering a bullish cycle. The Ripple token (XRP) is no exception and has risen nearly 27% over the past week.
Most XRP holders are in profit.
More than 98% of all XRP in circulation are currently profitable. This means that most holders bought their XRP at lower prices and are now making profits.
This is usually considered a bullish signal, but it also carries a hidden risk in the form of profit-taking. Some investors may decide to lock in current profits, and then their pressure will create short-term resistance for the cryptocurrency.
Meanwhile, the balance of XRP on exchanges has reached 3.949 billion tokens — the highest level in the last four months. The increase coincided with the recent rally of XRP from $2.16 to $2.99. Since June 23, more than 519 million XRP, worth about $1.47 billion, have entered the exchanges.
The only way to avoid impacting the price is if large players quickly absorb the excess supply. Otherwise, this $1.47 billion in liquidity could lower the price.
