The XRP market is showcasing a spectacular game of strategy. In the past week, addresses holding 10 million to 100 million XRP collectively sold approximately 400 million tokens, worth over $1.2 billion. Normally, such a large-scale sell-off should trigger a price collapse, but surprisingly, the price of XRP remains strong around $3.09.
Behind this resilience is the incredible buying power shown by retail investors. In just the past 24 hours, approximately 77 million XRP have been withdrawn from major exchanges, worth about $231 million. Retail investors are not intimidated by the selling behavior of whales; instead, they view it as a rare buying opportunity. This behavior pattern indicates that retail investors' confidence in XRP has not wavered.
From a technical analysis perspective, $3.07 is an important support level, while $3.12 is the next resistance level. If XRP can hold the $3.07 support and break through $3.12, the next target may be $3.41. Conversely, if the support level is lost, XRP could fall back to $2.91. The current relative strength index is in a neutral range, indicating neither overbought nor oversold conditions, providing possibilities for two-way price fluctuations.
The large-scale sell-off by whales may be based on various considerations. After a significant rise, the price of XRP has reached a relatively high level, and taking profits is a rational choice. The uncertainty in the macroeconomic environment may prompt large holders to reduce their risk exposure. Concerns over changes in the regulatory environment may also be a significant reason for the sell-off.
In contrast, the firm buying behavior of retail investors may be based on confidence in the fundamentals of XRP. As the core product of Ripple, XRP still has broad application prospects in the field of cross-border payments. Against the backdrop of accelerated global digital transformation, traditional financial institutions have an increasing demand for efficient and low-cost cross-border payment solutions, providing important development opportunities for XRP.
It is worth noting that the supply of XRP on exchanges is continuously decreasing. As more XRP is withdrawn from exchanges and transferred to personal wallets, the number of tokens available for trading in the market decreases, which theoretically should support the price. This game between whales and retail investors is not only a process of price discovery but also a reflection of the market's maturity. Regardless of the final outcome, this diversified investor structure and rational market behavior will lay the foundation for the long-term healthy development of XRP and the entire crypto market.
