Ripple-backed XRP is back in the spotlight, but for all the wrong reasons. A large crypto investor unloaded a significant amount of XRP, raising concerns about the token’s future trajectory
Whale Offloads XRP to Bitstamp
On June 10th, blockchain transaction data revealed a transfer of a whopping 30.32 million XRP tokens, valued at roughly $15.07 million, to Bitstamp, a Luxembourg-based cryptocurrency exchange. The seller behind this hefty transaction? The well-known whale Rzn, who has a history of making sizable sales on the same platform.
Read Also: XRP Dips After Whale Activity Spikes, Buying Opportunity Emerges?
Price Stalemate Despite Short-Term Gains
While XRP managed a small 0.68% price increase over the past day, it continues to fight an uphill battle against the crucial $0.5 resistance level. The price action remained constricted within a narrow range, flickering between $0.4937 and $0.5008. This highlights the token’s struggle to break above this key barrier.
Bearish Signals Mount
Market analysts are closely watching technical indicators, and the outlook for XRP isn’t exactly rosy. Data from Coinglass paints a concerning picture. A 0.30% dip in Futures Open Interest (OI) suggests a decline in investor positioning on leveraged trades. Furthermore, a staggering 36.31% plunge in derivatives volume points towards waning investor confidence and a significant drop in trading activity. The Relative Strength Index (RSI) hovering around 38 further reinforces the bearish sentiment. This indicates that the token is currently in oversold territory.
Can XRP Bulls Stage a Comeback?
The battle for control of the $0.5 price level is far from over. With dwindling market interest and technical indicators flashing red, XRP bulls face an uphill climb in the near future. They’ll need to muster significant buying pressure to overpower the selling momentum and propel the price above the $0.5 resistance level. However, if the current bearish sentiment persists, the cryptocurrency could experience further downward pressure in the coming days.
