XRP, one of the top 10 cryptocurrencies by global market cap, curated a storm of speculations today, April 3, as the token noted considerable whale activity. Coming in tandem with the recently witnessed crypto market corrections, 25 million XRP offloaded by a renowned whale painted an enigmatic scenario for the Ripple-backed token, birthing queries among investors surrounding XRP’s price action ahead.

XRP Whale Transaction: In-Depth Report

Intriguingly, Whale Alert’s insights showcased an XRP whale offloading 24.80 million coins, worth $14.70 million, to Bitstamp, a Luxembourg City-based CEX. This transaction, coming amid XRP’s drop below $0.60, pushed a bearish sentiment among investors as it signaled supply gains for the token on exchanges.

Meanwhile, as CoinGape Media reported earlier, the same whale has been recorded making similar dumps to the same CEX. This recurring phenomenon, emerging promptly after Ripple’s strategic stake acquisition in Bitstamnp, fueled speculations over the American blockchain payments services company’s efforts to regulate the XRP tokenomics.

Besides, on-chain data and technical indicators for XRP further shrouded the token in questions over a potential $1 run in April. Leading analysts across the globe portrayed a retained sense of bullishness on the token’s capability to hit $1 in April. However, the optimism orbiting this potential bull run for the Ripple-backed token faced a severe setback, resulting from market corrections, as mentioned above.

Additionally, the US SEC’s recent appeal on a final judgment against Ripple in the XRP lawsuit further paints an uncertain future for XRP. In the interim, the token traded in the red as of press time, aligning with the bearish market sentiments.

Also Read: Bitcoin Algorithmic Tracking of ETF Flows Creates Volatility in Asian Markets

XRP Price Tumbles

At the time of writing, the XRP token’s price noted a 1.89% drop in the past 24 hours and is currently trading at $0.5863. This drop comes riding the wave of market corrections, further nabbing investor attention as the token showcased remarkable gains recently, topping the $0.7 mark over the past month.

However, current on-chain data showcased a bearish turn for XRP. Its open interest dipped 2.35%, while derivatives volume fell 21.97% as the price waned, per Coinglass data. This, in turn, unfurled a bearish trend among investors, while a selling sentiment flagged out via technical indicators added to this bearish trend.

Notably, XRP has illustrated considerable resilience, maintaining its position above the pivotal $0.58 mark. If a positive trend resurfaces within the broader crypto market, XRP could potentially top the previous resistance level of $0.65. Followed by an increased bullish momentum, the Ripple-backed token could breach the $0.9 barrier, scaling $1 in the short period.

On the other hand, if the market downturn prevails, the XRP price could slip below $0.57, possibly moving toward the $0.55 support zone, according to an analysis by CoinGape Media.

Nonetheless, prominent analysts like Egrag Crypto and Dark Defender continue to spark investor enthusiasm as they seem to be confident about Ripple-backed token’s run to $1 in April.

Also Read :GBTC Bitcoin ETF Outflows Surge Past $15.15 Billion, More Pain Left Ahead?

✓ Share:

CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

Source link