A recent incident in the cryptocurrency world has led to allegations against Coinbase of manipulating XRP prices. The allegations were raised by XRP community activist Stern Drew using the blockchain analysis tool XRPScan.
Analysis of Coinbase Assets
According to Drew's analysis, Coinbase's XRP holdings fell from around 970 million in June to between 260 and 300 million by the end of August. Additionally, the number of the exchange's XRP wallets dropped from 52 to 16.
Drew claimed that Coinbase sold XRP during periods of low liquidity and distributed it across various wallets, coinciding with XRP's inability to break through the $1.20 resistance level.
Statements and Expert Opinions
Experts believe the decline in Coinbase's XRP holdings is largely due to liquidity management and portfolio adjustments. Similar trading patterns have also been observed on major exchanges and OTC desks.
"We all know Coinbase doesn't like XRP, but the price movements were similar when it was delisted from Coinbase in the past. The actual price movements are tied to overall market trends," said XRP advocate Bill Morgan.
Ripple CTO David Schwartz also rejected allegations of market manipulation, arguing that the XRP price is determined by market uncertainties, regulatory issues, and macroeconomic trends.
Current Status of Allegations
Currently, there is no official evidence supporting these claims. Coinbase has not commented on the matter, and there are no investigations or sanctions in the works. Claims that Coinbase is manipulating XRP prices remain speculation based on internal community analysis.
The incident involving the alleged manipulation of XRP prices raises important questions regarding transparency and the practices of digital asset exchanges. Expert opinions suggest the need for further analysis and monitoring of such platforms.
