Whale Dumps Massive $55 Million in XRP to Ripple as Coin Falls Below $3?

A whale alert regarding a massive $55 million XRP transfer to a Ripple wallet sparked speculations in the crypto community. This comes as the coin’s price dropped 2% to below $3 again despite an overall bullish sentiment in the crypto market. Did the whale really dumped XRP to a Ripple-linked wallet amid price drop concerns?

Huge XRP Transfer to Ripple, Here’s Why

On October 6, Whale Alert reported 18,744,800 XRP transferred from an unknown wallet to a wallet linked to Ripple. The massive transfer worth $55,868,599 to the wallet raised concerns in the community about possible further liquidations.

However, it was not the case as on-chain data confirmed the transfer happened between Ripple (31) to Ripple (1). This was the first transfer from the wallet after more than two years.

Further analysis on XRPScan by CoinGape revealed the transfer was related to the biggest ever cross-chain airdrop by Midnight Foundation. Notably, Ripple (31) received nearly 18,744,807 coins as part of the Midnight Glacier Drop.

These were transferred to Ripple (1), similar to a 300,000,000 XRP inflow in the wallet from Ripple (26) last Thursday. Ripple (1) now holds 668,745,081 XRP, which includes tokens related to Bitstamp and GateHub.

Price Tumbles Again Under $3

The muted price action continues due to a lack of support from whales. CryptoQuant’s XRP Whale Flow 30-DMA data signals that whale flow is still negative as the crypto asset faces renewed distribution pressure.

XRP price dropped 2% in the past 24 hours after a recent rebound, with the price currently trading at $2.98. The 24-hour low and high were $2.95 and $3.07, respectively. Trading volume has increased by 7% in the last 24 hours, indicating interest among traders.

CoinGlass data showed buying sentiment in the derivatives market. The total XRP futures open interest jumped 0.22% to $8.95 billion in the last 24 hours. Also, futures OI on CME dropped 1.55% and climbed 2.66% on Binance in the last 24 hours.

However, analysts suggest a breakout from falling wedge pattern formation in the daily timeframe will set the a rally to reclaim $3.33 first, followed by a new ATH based on the pattern height. The key support level is at $2.80.