Ripple Whales Offload 90M Tokens as XRP Price Eyes $1.50 Drop

The cryptocurrency market is in a state of fear, and altcoins like Ripple (XRP) are recording massive losses. XRP price has dropped by more than 20% this week alone. Following this decline, whales are closing their positions, after selling more than 90M XRP. As whales hesitate to buy the XRP dip, will Ripple price drop to $1.50 in the near term? 

XRP Price Faces Bearish Pressure as Whales Sell 90M Tokens

Ripple price today trades at $2.04 after a whooping 10% drop in 24 hours. In the last seven days, XRP has shed nearly $40 billion in market capitalization. Despite this sharp drop in XRP price, large addresses that typically buy the dip continue to sell, suggesting the likelihood of an extended decline. 

Data from Santiment shows that in the last 24 hours, addresses holding between 10M and 100M XRP have sold 70M tokens. Additionally, the addresses holding 100K to 1M XRP have been gradually selling the token this week, and have reduced their position by 20M tokens. 

The hesitation by whales to buy the XRP dip suggests they do not anticipate a price recovery in the near term. 

Will Ripple Drop to $1.50?

XRP has breached the lower trendline of its descending parallel channel as the broader crypto market crash caused panic selling. This bearish breakout signals that the ongoing downtrend may continue. This breakdown also shows bears are tightening their grip over XRP price, which may lead to a drop to support at $1.77. Breaching this support may cause a drop below $1.50 to $1.39. 

At the same time, the MACD indicator shows a strong bearish momentum with the negative MACD line and red histogram bars. 

Ripple’s RSI has also reached oversold levels. Oftentimes, this suggests a recovery, but with whales not buying and market sentiment being gloomy, XRP may consolidate at range lows before a price rebound. 

However, even during bear markets, some altcoins register short relief rallies. Will this be the case with Ripple price? 

Can XRP Price Recover?

While the outlook remains gloomy, XRP price has a chance to recover. Macro factors such as progress in the SEC vs. Ripple case may trigger a trend reversal. However, recovery is contingent on the price falling back to a demand zone at which buyers will become willing to accumulate. 

Analyst VipRoseTr identifies this support zone at $1.25, where traders are likely to start buying again to support a strong bullish reversal past $3 to an all-time high of $4.22. 

Nevertheless, for XRP to make a strong uptrend from any support zone, the broader market sentiment needs to shift to positive. The altcoin should also attract buying attention from whales and large players.