Recent movements of XRP tokens by co-founder Chris Larsen have raised concerns among investors. Between July 17 and 24, significant amounts were transferred to crypto exchanges.
Movement of XRP by Ripple Co-Founder
Chris Larsen, co-founder of Ripple, moved $175 million in XRP tokens. According to crypto investigator ZachXBT, $140 million of these funds ended up on crypto exchange addresses.
Decline in XRP Price
These movements coincided with a drop in XRP's price, especially on July 24, when the token reached its weekly low of $2.99, registering an 8% price drop in a single day. Analysts noted that XRP fell below the 4-hour moving average trendline.
Investor Community Reaction
Many in the crypto community began speculating that Larsen was dumping his assets, questioning the decentralization of XRP. However, ZachXBT noted that wallets linked to Larsen still hold over 2.81 billion XRP, worth approximately $8.4 billion, indicating potential for significant selling pressure if he decides to sell more.
The situation with token movements and price decline raises concerns among XRP holders, highlighting the influence of insider actions on the market. However, attributing the price dynamics solely to the co-founder's sales is complex.
