Ripple Dumps $78 Million in XRP Tokens: What’s Next for Prices?
Ripple has offloaded 150 million XRP tokens worth $78 million, averaging $0.52 per token.
Ripple recently sold 150 million XRP tokens, totaling $78 million and representing 0.25% of XRP’s market cap. This follows the company’s earlier transfer of 3 billion XRP, worth nearly $1.5 billion, from its escrow wallet within 30 minutes.
This significant sale has sparked fears of a price impact, especially given Ripple's history of influencing XRP’s price with such moves. Speculation is mounting that Ripple might be gearing up for its biggest monthly XRP dump since 2017.
“Supply shock causes XRP to dip,” noted Coach K Crypto on X.
Despite these concerns, XRP's price remains relatively stable. BeInCrypto data shows XRP trading at $0.51, down 1.26% in the last 24 hours, aligning with broader market trends.
XRP is showing a bullish trend on the daily chart, maintaining higher lows. However, this trend is fragile as the price hovers just above the ascending trendline. A drop below this support could trigger panic selling.
The Relative Strength Index (RSI) is below the signal line, indicating increased selling pressure and a potential continuation of the price decline. Traders often view this as a signal to sell or short the asset.
The Parabolic Stop and Reverse (SAR) indicator supports this bearish outlook, tracking the XRP price from above. As long as this continues, the market sentiment will remain bearish.
With the RSI below 50, bears are in control, and a breakdown seems imminent. Losing support at the ascending trendline could send XRP tumbling to the $0.50 psychological level.
In a worst-case scenario, the price could fall to $0.4784, an 8% drop from current levels. Failing to hold this support could see XRP plummet further to $0.45, levels last seen on April 13. If the trendline support holds, XRP could rebound. A stable close above $0.5432 would attract buyers and invalidate the bearish outlook, potentially pushing the price to $0.65.
