XRP saw a drop of almost 2% in just 24 hours. Indeed, it is the strategic movements of whales that shake the market. Their influence on prices is not trivial and can change forecasts in an instant. Yesterday, Friday October 18, 2024, the massive sales of several million tokens by these key players were a reminder of how fragile market dynamics can be.
Whales attack XRP
The massive movements of XRP tokens observed in recent days have put considerable pressure on the market, with the price of the crypto falling. According to the latest data, several large transactions have been carried out by “Ripple whales”. For example, one of these whales transferred no less than 20 million tokens to the Kraken platform, a transaction valued at approximately $10.98 million. Another major transaction saw 28.3 million tokens, or nearly $15.39 million, sent to the Bitso exchange. The massive sell-offs, occurring in such a short period of time, have created a shock wave among investors, increasing concerns about future massive sales which could further weaken the price of XRP.
This increased selling pressure comes in an already tense context for Ripple, as the legal case between the company and the US Securities and Exchange Commission (SEC) continues to drag on. The uncertainty surrounding the outcome of this dispute makes market forecasting for XRP even more difficult. Some investors believe that this situation could delay the recovery of the token, even in the event of more favorable market conditions. Thus, the current situation combines both technical movements linked to these massive sales and legal uncertainty which plunges XRP into a phase of prolonged volatility.
Legal uncertainties and increased volatility
In parallel with the sales carried out by the whales, the lawsuit between Ripple and the SEC continues to weigh heavily on the price of XRP. The SEC even filed a last-minute appeal in this case, thus delaying any rapid resolution of the conflict. This new extension could maintain downward pressure on the price of Additionally, the slow pace of legal developments is profoundly affecting Ripple's ability to capitalize on possible bullish conditions in the sector.
In addition to this legal obstacle, the low interest shown by investors is also reflected in the stability of open positions on XRP futures contracts, a sign of increased uncertainty in the market. While other cryptos are attracting renewed interest, XRP is struggling to attract new investment flows, largely due to these external factors. This combination of massive sales and court extensions maintains a climate of mistrust, which increases market volatility.
The news surrounding Ripple's whale sales and legal uncertainties demonstrates the extent to which the crypto market can be influenced by multiple and complex factors. Indeed, volatility is expected to continue for XRP, as long as the selloffs continue and the matter with the SEC is not resolved. For investors, it is important to closely monitor upcoming developments, as these could either worsen the situation or, on the contrary, provide an unexpected opportunity for XRP.
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