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Are XRP whales and sharks anticipating a bull run? These statistics state that…
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| Last updated: January 30th, 2024
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- Ripple recently saw an uptick in the activities of whales and sharks
- However, XRP has been experiencing a downtrend in price in recent weeks
The legal battle between Ripple [XRP] and the Security and Exchange Commission (SEC) appears to be going on forever. However, that didn’t appear to stop whales and sharks from acquiring XRP.
Recent statistics revealed that the accumulation of XRP had recently been on an upward trend. What would have sparked this interest, and what is the current proportion accumulated?
Read Ripple (XRP) Price Prediction for 2022-2023
Sharks and Whales Ramp up Accumulation
An uptick in XRP accumulation was seen with whale and shark addresses in the 1 million to 10 million range, data from Santiment revealed.
What was notable about this accumulation was that the token had never been at its current level before. At press time, the total number of addresses surged to 1,614. This was a rise from the 1,500 region that was seen in November.
Source: Santiment
Additionally, the addresses of these sharks and whales had 7.2% of the supplies in their holdings. In line with the address tiers statistics, the percentage of the supply was likewise at an all-time high.
This effectively indicated that December was the month that saw the greatest accumulation of whales and sharks. What, however, might be responsible for this development?
Source: Santiment
The increase and decrease in sharks and whales accumulation could be seen on both charts. Furthermore, this link could be related to XRP’s ongoing price trajectory. One could notice that when prices decreased, these tiers of addresses were presented with an accumulation opportunity.
The current price of XRP in December stood as one such possibility due to the great potential for accumulation that a lower price offers.
A look at XRP on the charts
The Volume indicator revealed that the selling pressure had been predominant in December when looking at the movement of the XRP price in a daily timeframe.
Additionally, this caused the asset’s price to drop. The asset was down more than 2% throughout the observation and was trading at about $0.34 at the time of this writing.
Source: TradingView
A resistance level for the asset was seen with the short Moving Average (yellow line) above the price and the long MA (blue line). A death cross—the yellow line dipping below the blue line—could also be seen from the daily timeframe as something that was about to happen.
The price may drop even further due to the cross, which signals the beginning of a bear trend.
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365-days MVRV
Investors were holding XRP at a loss, according to data on how profitable it has been for them over the past 365 days. The Market Value to Realized Value (MVRV) Ratio indicated a loss of 26.11% up to this point. Thus, it provided evidence of the aforementioned fact.
Source: Santiment
Despite the apparent price decline and realized loss, these sharks and whales were still accumulating, seemingly betting on a future increase. Given the asset’s historical price move and the present bear trend, investors at the current price might gain almost 60% in a bull trend.
