Examining XRP’s state as whales scoop up millions of tokens
XRP whales increased their accumulation in the last few days when its price declined. The effects of which are already being seen as the token's price went up.
- Network activity on XRP increased substantially over the last week.
- XRP’s price increased by more than 2% in the last 24 hours, and a few indicators remained bullish.
Ripple [XRP] witnessed a massive increment in whale activity last week when its price dropped. The token’s price declined by more than 4% in the last seven days. And the whales saw an opportunity to increase their accumulation. The effects of high accumulation might already be visible as XRP’s price climbed in the past 24 hours.
Read XRP’s Price Prediction 2023-24
Network activity on the rise
Large investors hoarded tokens worth over $170 million in the last seven days. While whales were accumulating more tokens, network activity on the blockchain also registered an uptick. For instance, XRP’s daily active addresses increased over the last week, suggesting more users on the network. Its network growth remained high, meaning that more new addresses were created to transfer the token.
On top of that, XRP’s velocity was also high. Simply put, a higher velocity means that the token was used in transactions more often within a set time frame. However, it was interesting to note that despite higher accumulation from the whales, the total number of token holders remained flat last week.
The effects of the increased accumulation were visible on the token’s price, which registered upticks in the last 24 hours. According to CoinMarketCap, the price increased by more than 2% over the last day. At the time of writing, it was trading at $0.4797 with a market capitalization of over $25 billion.
A look at its daily chart suggested that the uptrend might continue further. For instance, XRP’s Money Flow Index (MFI) registered an uptick. Its Relative Strength Index (RSI) also followed the same route, going up slightly. However, the MACD still supported the bears. The Chaikin Money Flow (CMF) took a sideways path, which was a development in the sellers’ favor.
Derivatives market looked bullish
XRP’s position in the derivatives market also looked bullish. According to Coinglass, its open interest was relatively stable, meaning that the on-going price trend might continue further. The token’s demand in the derivatives market was also high as its funding rate remained green.
How much are 1,10,100 XRP’s worth today
Sentiment around XRP improved
The token’s social volume increased substantially last week. This development reflected the increased popularity of the token in the cryptocurrency community.
Adding to that, XRP’s weighted sentiment also shot up last week, suggesting that positive sentiment around XRP was dominant in the market.
