Recent data indicates that sell-offs of XRP by large holders are causing market concerns, despite a slight price increase.
Whale Asset Distribution
According to CryptoQuant data, large holders of XRP have reduced their holdings by 640 million tokens since July 9. The aggregate of these sell-offs totals over $1.91 billion, with much of the selling occurring when the asset was priced between $2.26 and $3.52.
Hodler Behavior and Consequences
Glassnode statistics reveal that XRP holders are quickly liquidating their positions, with net position change sharply negative, reaching levels last seen seven months ago. This decline began in mid-July and has accelerated in early August, with net outflows exceeding 500 million tokens daily, indicating decreased long-term holder confidence.
Technical Analysis and Trader Sentiment
XRP is trading above $2.90, and if this level fails, the next major support lies at an ascending trendline around $2.20. Momentum indicators show weakening bullish strength, but 69% of traders on Binance hold long positions, suggesting some optimism despite whale sell-offs.
In conclusion, while XRP shows some price growth, the actions of major holders and declining confidence among long-term holders may signal potential market instability. Traders remain optimistic, but risks remain.
