The 75 million tokens sold by Ripple Sells XRP on May 13 represent around 0.25 percent of XRP’s entire market capitalization, which is now around $28 billion. Ripple is the corporation with the highest XRP reserves. This sale follows Ripple’s earlier this month’s release of 1 billion XRP, which were initially intended to remain in monthly escrows until 2027. Ripple put 800 million into new escrows and 200 million into its treasury account.
As initially reported by Finbold, the sale was carried out using Ripple’s treasury account, which is labeled “Ripple (1),” on the XRP Ledger explorer XRPScan. Tokens were then transferred to an unlabeled account, “rP4X2…sKxv3.” Because to this procedure, fresh XRP entered circulation, which could increase inflationary pressure and push XRP’s yearly inflation rate above 4%. Following Ripple Sells XRP launch, the destination account had 50 million XRP and transferred 100 million tokens to a market address linked with its sales.
The spot market price of XRP could be pushed lower by the extra 150 million XRP if this trend continues. After falling almost 5% in the previous week amidst a broader downturn in the cryptocurrency market, XRP is now trading at $0.5 per token as of this writing. According to CryptoGlobe, an expert in the cryptocurrency market has recently predicted that XRP’s price would soon break out of a symmetrical triangle it has been trading inside over the past several weeks, suggesting that the price of the cryptocurrency could be about to experience a strong surge.
This triangle has held the XRP price steady for years, suggesting a possible buyer-seller conflict. Carter stated that XRP would have a substantial increase in value upon a successful breakout. If the symmetrical triangle does break out, Carter predicts an initial surge towards $0.93. XRP briefly approached this level in July 2023 after a positive development in the continuing legal struggle with the SEC.
Nevertheless, according to Carter, XRP will be able to overcome this obstacle and reach an even more ambitious mid-term aim of $1.68. This would be an incredible increase of more than 200% from its current price.
What happened to Ripple’s 150 million sell-off?
After receiving May’s 150 million, Ripple’s destination account rP4X2…sKxv3 kept 50 million and sent 100 million XRP to rhWt2…E32hk. Notably, this is a usual path for the company’s dumps, following a similar pattern to previous months.
If the pattern continues, these accounts will distribute Ripple’s XRP to three to five centralized exchanges for the sell-off. Therefore, the 150 million may create supply pressure on the spot market, potentially affecting the price of XRP.
XRP Price Analysis
It is noteworthy how Ripple sales directly impact XRP’s price. Historically, the token suffered a local crash most of the time Ripple Sells XRP sold its tokens. In 2024, only three out of 10 sell-off days had positive price action: February 5, 11, and April 14. All the other seven days were of local crashes, evidencing the importance of monitoring the company’s activities.
As of this writing, XRP was trading at $0.507 per token, down nearly 7% from Ripple’s most recent dump. Interestingly, the relative strength index (RSI) indicates weak momentum for the digital asset, forecasting challenges as Ripple inflates its supply.
XRP Price Springs
At the time of writing, one XRP coin was trading at $0.6351, a significant increase of 4.49% over the previous 24 hours. The Ripple-backed coin created positive waves in the limitless crypto sector with a 4.50% spike in market cap and a 7.74% surge in 24-hour trading volume.
Interestingly, Coinglass revealed that XRP’s open interest surged by 8.26% and that its volume rose by 14.92%. Coinciding with the token’s already optimistic market posture, the OI-weighted funding rate jumped to 0.0316%, suggesting a large influx of fresh capital into the futures market, a rise in market activity, and an increased willingness among investors to boost their long-term investments.
While everything was going on, the technical indicators showed that the market sentiment was one of buying. The coin, according to Trading View’s data, which might lead to more rises. One notable aspect is that there is already some confidence in the market over XRP’s potential to reach $1 in April. Crypto market fans are closely watching the token for any changes in price activity, especially with the current market data adding weight to their speculation.
XRP Price Outlook
The present price of XRP is US$0.515628, but according to certain sources. It might reach US$0.687424 by February 12, 2024, an increase of 33.47%. There is no guarantee that this forecast will be accurate, but it is based on technical analysis and historical patterns. Some experts predict that in 2025, XRP would trade anywhere from $0.320403 to $0.615584, and in 2030. It might go anywhere from $0.387891 to $0.576584. The assumption underlying these projections is that XRP’s growth over. The next five years will mirror Bitcoin’s rise over the last five years. This assumption, however, may be incorrect because XRP offers different opportunities and challenges than Bitcoin.
