Ripple co-founder Chris Larsen has stirred up the XRP community after moving a significant 50 million XRP tokens, valued at around $29.1 million, to an unknown wallet. Whale Alert, a wallet monitoring service, picked up the transfer, sparking curiosity and debate. This is the first notable activity from Larsen's wallet since September 2020, making it a key event in the crypto world.
Dormant Wallet Comes to Life
Larsen's wallet has been largely inactive for years. Funded with 500 million XRP in 2013 as part of his allocation, the wallet had only one small transaction in December 2017, transferring just 1 XRP. It remained quiet until now. The last major transfer was in September 2020 when Larsen moved $115 million worth of XRP. With the sudden movement of 50 million XRP, the crypto community's interest has been reignited.
Community Speculation Heats Up
Unsurprisingly, this large XRP transfer has fueled speculation among investors, many of whom fear it could trigger a sell-off and drive XRP’s price down, currently sitting at $0.58. Large transactions like these often raise concerns about a possible market dump.
Additionally, the broader crypto market downturn has added to the unease. Many are left wondering why Larsen made the move now and what it could signal. Initial worries included fears of a hack, as Larsen’s wallet was compromised earlier this year, resulting in the theft of $112 million.
However, evidence suggests this transfer was intentional, as the sender activated the receiving address with 10 XRP before completing the larger transfer, ruling out an accident or security issue.
Is Politics Involved?
Another theory circulating is that the transaction may have political ties. Larsen has recently voiced support for U.S. Vice President Kamala Harris, leading some to speculate this transfer could be linked to political contributions. Yet, this remains unconfirmed, with no official statement from Larsen or Ripple to back it up.
What’s Next for XRP’s Price?
As with any major crypto development, the market will be keeping a close eye on the situation. Big moves like this can have wide-reaching effects, and the coming weeks could shed light on the real motive behind the transfer. Until then, the XRP community is on edge, watching to see if this leads to significant market shifts.
XRP has been trading between $0.41 and $0.64 for weeks, with flat moving averages and a neutral RSI, signaling balanced supply and demand. Bulls need to push the price above $0.64 to regain control, while a break below the uptrend line could see XRP fall to $0.50 or even $0.46, signaling a bearish trend
