Whales continue to buy the Ripple token, indicating that they expect the price to resume its upward trend.
A good example of this is a whale that purchased coins worth 61 million dollars on Upbit over the weekend. More signs point to ongoing whale activity, which typically precedes a strong increase.
The continuous purchases by whales partly explain why the net flow from exchanges has been negative in recent months. Data from CoinGlass shows that XRP tokens worth over 10 million dollars left the exchanges last week, following the exit of another 30 million dollars the week before.
A more detailed analysis shows that cash inflows and outflows amounted to nearly one billion dollars since the end of June. This is positive, as it demonstrates that investors are moving their tokens to self-custody, anticipating a price rebound.
The price of XRP has more catalysts. The most notable is that the SEC will likely approve all or most of the 10 spot XRP ETFs by the end of this year. In a recent statement, Brad Garlinghouse, CEO of Ripple, predicted that the approval would occur in October of this year.
XRP ETFs are likely to receive significant inflows from U.S. investors due to their role in the cryptocurrency industry. It is the third-largest cryptocurrency, with a valuation of 180 billion dollars, it is highly liquid and has utility.
The other bullish factor is that the market capitalization of Ripple USD (RLUSD) has reached 666 million dollars, meaning it will soon surpass 700 million dollars. The rapid growth of RLUSD is positive, as it increases the utility of XRP Ledger.