Ripple, the company behind the XRP token, sold 100 million tokens on Sunday, as crypto markets come under pressure following the escalation of the Iran-Israel conflict. This unusual sale raises concerns about the potential impact on its price.
Ripple continues monthly XRP sales
As per its monthly practice, Ripple released 1 billion XRP from its escrow account on April 1. 200 million were transferred to his “Ripple (1)” cash account.
However, on Sunday, Ripple moved half of that amount, or 100 million XRP (around $50 million), to an unknown address “rP4X2…sKxv3,” which it usually uses for its sales. This operationcarried out outside the usual schedule, raises questions about the company's strategy.
Historical analysis of XRP sales by Ripple highlights a correlation with subsequent price declines. In 2023, XRP fell 6 days out of 8 when Ripple carried out liquidations.
With 100 million XRP still available this month and geopolitical tensions linked to the Iran-Israel conflict weighing on the entire crypto market, investors fear further downward pressure on the price, currently at $0.485.
Potential impact on the price of Ripple
Despite this unfavorable context, many observers see an improvement for XRP as the next Bitcoin halving approaches, which will halve mining rewards. In the past, this event has often triggered price increases in altcoins such as XRP.
In addition, the recent court decision finding that XRP is not a financial security has reassured investors on a regulatory level. Reputable analysts predict that this crypto could retest its all-time highs at $3.84 around the halving, or even climb to $5.85 by 2025, in a consistent uptrend.
Despite the current volatility, XRP maintains its 7th place among cryptos with a capitalization close to $30 billion. Technical indicators and chart analysis suggest that a rebound is possible if support at $0.46 holds.
However, failure could send XRP as low as $0.42. The next few weeks promise to be decisive for Ripple, between market dynamics and a tense geopolitical context.
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