Ripple has made a clear shift away from retail investors, turning its focus toward institutions. Business expert Jake Claver explained that Ripple’s success is not tied to individual holders of XRP. Consequently, the company is targeting large-scale financial institutions and governments for cross-border transactions, distancing itself from projects driven by retail adoption.
“While retail investors can hold XRP and use the XRP Ledger, Ripple’s primary goal is facilitating institutional-grade transactions and cross-border settlements with speed and efficiency,” Claver stated.
Ripple Institutional Strategy Takes Center Stage
Earlier this year, the company announced the launch of its RLUSD stablecoin, aimed solely at institutional clients. The coin subsequently entered beta testing in Aug., and Ripple CTO David Schwartz confirmed it won’t be available to retail users.
XRP Ledger Market Cap Hits Record Low. Source: Dr. Artur Kirjakulov
However, the XRP Ledger ecosystem continues to face setbacks. Artur Kirjakulov, CEO of XPMarket, revealed that the XRP Ledger’s market cap hit a new low of $80 million.
Whale Activity and MVRV Ratio Signal Market Moves
I addition, XRP Whales have been making substantial moves in the market. Over the past week, whale addresses holding between 10 million and 100 million XRP accumulated more than 330 million XRP, valued at approximately $177 million. This accumulation hints at a potential price rally in the near term.
Historically, such whale activity has influenced XRP’s market performance, with large accumulations often signaling bullish sentiment.
Correlation between XRP price and Mean Coin Age from June to September 2024. Source: Santiment
Additionally, the Mean Coin Age (MCA) indicator, which measures how long XRP has been sitting in wallets, has recently increased. This shows that long-term holders are keeping their XRP, hinting at growing confidence among investors.
XRP MVRV Ratio holder profitability shifts from March to August 2024. Source: Santiment
In mid-March, the MVRV ratio hit 81.03%, suggesting many XRP holders were in profit and likely cashed out. By early Aug., the ratio fell to 10.66%, meaning most holders were at a loss and likely waiting for better prices. By mid-Aug., the MVRV ratio rebounded to 50.65%, showing renewed investor confidence.
The interplay between institutional interest and whale accumulation could determine XRP’s trajectory in the coming weeks. Above all, Ripple’s shift toward enterprise solutions, coupled with whale activity, positions the token for potential market gains, though its DeFi and retail use cases remain limited.
The post XRP News Today: Ripple Not Reliant on Holders as Whales Accumulate 330M XRP appeared first on CoinChapter.
