XRP has shown significant volatility in recent days, reflecting uncertain investor sentiment. Despite the large price fluctuations, XRP remains stable around $3.00, primarily due to the mixed actions of investors.
The decisions of whales to sell a large amount of XRP impact price movements.
XRP whales warn of trouble
The selling pressure from whales is evident, as large holders are reducing their positions. Over the past week, addresses holding between 10 million and 100 million XRP sold about 400 million XRP, worth over $1.2 billion.
This movement has contributed to uncertain price movements, pushing the market into a period of volatility.
Despite the whales selling, the amount of XRP available on exchanges has decreased. This means that other smaller investors may be actively working to stabilize the price.
In the past 24 hours, 77 million XRP, worth $231 million, have been withdrawn from cryptocurrency exchanges. This ongoing accumulation by investors supports the price and prevents XRP from sharply dropping below the $3.00 level.
Investor behavior appears to counter the widespread selling by whales, providing a foundation for a potential price recovery. While whales dominate selling pressure in the market, smaller investors help maintain the stability of XRP's price.
The active buying behavior from these investors, along with a net positive stance, is critical in keeping the price above key support levels. These efforts could lead to a potential upward movement.
XRP price is at risk
At the time of writing this report, XRP is trading at $3.09, maintaining a support level above $3.07. Recent price movements suggest that XRP is unlikely to drop below $3.00, particularly with strong support. This stability is crucial for potential recovery.
If XRP can secure $3.12 as the next support level, it may rise to $3.41, regaining some of its recent losses. Buying activities from individual investors may help push the price towards this higher level, indicating a potential short-term recovery.
However, if the selling pressure from the whales continues to increase, XRP may drop through the support at $3.07. In this case, XRP could drop to $2.91, negating the bullish outlook and potentially leading to further price declines.