TL;DR
- Large XRP holders transferred around 1.6 billion tokens to Binance over the past 30 days, the highest level in six months.
- According to CryptoQuant, whale inflows had steadily declined since March and only began recovering in August.
- Analysts warn the token could fall to $0.87 if selling pressure continues, though some see the current price as an opportunity.
The activity of XRP on Binance recorded a significant jump over the past month. According to data from CryptoQuant, whales transferred around 1.6 billion tokens to the platform in the last 30 days, reaching their highest level since March. Whale inflows had declined steadily between May and July, before beginning to recover in August with ascending momentum in the most recent weeks.
The transfer of large volumes to an exchange increases the supply available for short-term trading, though it does not necessarily imply an intention to sell. Whales often move funds between wallets and exchanges for various reasons: liquidity management, preparation for trades, or simply portfolio reorganization.
XRP’s Rally Could Not Be Sustained
The token saw a rise of approximately 70% between August 17 and 21. Days before its surge, the firm Santiment identified 85 new wallets holding at least one million XRP each, suggesting that demand was growing and available circulating supply was shrinking.
However, the rally lost momentum after the United States Senate failed to advance the CLARITY Act, a key piece of legislation for the sector. The token posted an 8% drop on September 15 and stabilized near $1.33, having briefly touched $1.25. Now, according to the latest data from CoinMarketCap, it is up 6.7% over the past 24 hours, trading at $1.38 per unit.
Key Technical Levels
Analyst CasiTrades noted that the drop below the 0.5 Fibonacci retracement level invalidated the wave structure she had been monitoring, which pointed to a possible move toward $1.78. To improve the outlook, XRP needs to reclaim and hold the 0.618 level at $1.65.
If it fails to do so, the 0.786 level around $1.10 would remain a relevant zone and a potential Wave C target. Analyst ChartNerd also indicated that a further decline cannot be ruled out. On the other hand, EGRAG CRYPTO argued that trading below $2 could represent a significant opportunity for long-term investors.
