XRP Surges 6% as Ripple Prepares for Possible Sell-Off
XRP has experienced a 6% surge in the last 24 hours, rising from $0.52 to $0.55 per token. This increase has provided Ripple with an opportunity to move an additional 70 million XRP (equivalent to $38.5 million) in preparation for a potential sell-off.
Understanding Ripple’s Sell-Off Pattern
Ripple recently unlocked 1 billion XRP tokens, reserving 200 million for this month’s payments. Of this amount, Ripple has already moved 135 million tokens in two batches: 60 million on October 10 and 75 million on October 16.
Using XRP Scan, Finbold has tracked and reported on Ripple’s token usage, allowing investors to understand the dynamics of XRP’s supply inflation and its impact on long-term value investments.
Ripple’s Current Token Movement
On October 24 at 04:25 am (UTC), Ripple transferred a total of 70 million unlocked XRP from the “Ripple 1” address to the previously unknown address “rJqiM…La8nE.” As of now, these tokens remain in that address.
If Ripple follows its previous pattern, the market can expect further payment transactions involving various addresses:
- “rJqiM…La8nE” will likely send around 1 million XRP to “rKL6i…S5Xwa,” which may then be sent to centralized exchange addresses such as Bitstamp or Bitso.
- “rJqiM…La8nE” should also send approximately 65 million XRP to “rP4X2…sKxv3.”
- “rP4X2…sKxv3” is expected to forward this payment to “rhWt2…E32hk.”
- “rhWt2…E32hk” should then immediately forward it to “rJgpQ…7hCvf.”
- Finally, the payment will be sent to “r4wf7…h4Rzn.”
Notably, the final address has previously been used to distribute sell-off amounts to centralized exchanges, with Bitstamp and Bitso receiving the largest portions.
Potential Implications for Traders and Investors
While there is no guarantee that Ripple will follow the same pattern or that the $38.5 million worth of XRP will be sold on the open market, traders and investors can use this information to inform their decision-making. It’s important to note that this value represents 1.65% of XRP’s spot volume in the last 24 hours.
Hot Take: Ripple’s Token Movement Raises Questions About Market Impact
Ripple’s recent token movement has sparked interest among traders and investors, as they monitor how it may affect the market. While some see it as an opportunity for a potential sell-off, others are cautious about its impact on XRP’s long-term value. Understanding Ripple’s sell-off patterns can help you make informed decisions about your investments and navigate the ever-changing crypto market.
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