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Ripple Whale Moves $50 million To Exchanges Despite XRP Price Struggling — A Bullish Sign?

Last Updated May 29, 2024 2:25 PM
Nikola Lazic
Last Updated May 29, 2024 2:25 PM

Key Takeaways

  • Two large XRP transfers reported by Whale Alert have the Ripple community on watch.
  • XRP’s price remained under $0.55 with sideways movement.
  • Possible new bull phase initiation signaled by chart pattern.

Yesterday, May 28th,, notable transactions totaling nearly 50 million XRP caught the attention of the cryptocurrency community. Whale Alert, a service that monitors significant cryptocurrency transactions, noted two large transfers by the same entity.

The community is bullish as this suggests whales are on the move, but depositing crypto on exchanges usually indicates upcoming selling pressure. The price of XRP is still below $0.55 and has moved sideways since mid-April. 

Are Ripple Whales On The Move? 

The first noted transfer was 29,280,000 XRP (worth USD 15.4 million) from an undisclosed wallet to Bitstamp, a prominent cryptocurrency exchange. The second transfer moved 19,880,000 XRP to Bitso, another well-known exchange. 

XRP
XRP Whale Data | Source: Santiment

Looking at the Santiment data, we can see a mixed picture among whale cohorts (1 million coins and above). The cohort from 1 m to 10 m considers a decrease in XRP from May 19 (blue line). The number of addresses holding between 10 m and 100 m XRP (yellow line) has remained still (around 250 addresses) from April 19. However, in the highest cohort, from 100 m to 1000 m XRP (red line), we saw an uptick of 1 new address. 

XRP Price Analysis 

On the 4-hour chart, we’ve identified a lower-degree symmetrical triangle forming since April 13. Although the May 21 spike was brief, XRP rebounded by making a higher low at $0.52 and is now experiencing another upward movement.

XRP
XRPUSD | Credit: Nikola Lazic/Tradingview

Although today’s increase does not surpass its previous peak, it suggests a strong likelihood of a breakout as XRP has approached its triangle’s apex. Should this occur, we might witness a significant rise, potentially marking the beginning of a new bull phase. The next resistance is at approximately $0.60, coinciding with a descending and horizontal level.

The price could advance beyond this resistance if this marks the start of a new bull phase. The symmetrical triangle likely represents waves 1 and 2, with an anticipated wave 3 aiming for the 1.618 Fibonacci extension, setting a target around $0.70. Moreover, if a subsequent five-wave pattern emerges, it may extend to $0.80 for wave 5.

Alternatively, if XRP breaks below its current symmetrical triangle, it would most likely be headed to its lower ascending support. In this case, it could fall to $0.43, revisiting its April 13 low.

 

Disclaimer
Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.
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