XRP Whales Begin Accumulation Spree, Could This Trigger a Price Rally?

Vinod Dsouza
ripple xrp whale
Source: Pixabay

Ripple’s native token XRP ducked the market downturn last week and consolidated sideways in the indices. XRP is currently hovering around the $0.46 mark and it is looking to reclaim its position above $0.50. The bulls are on a mission to take the cryptocurrency to $1 but the bears are pulling the asset down with regular sell-offs and profits bookings.

According to recent data from the on-chain metrics firm Santiment, whales are on an XRP accumulation spree. The buying behavior shows wallet addresses holding between 1 million and 10 million XRP have embarked on a purchasing expedition.

Also Read: Ripple: Will XRP Fall to $0.10 Next? Analyst Weighs-in

Source: Santiment

The accumulation spree began on April 19 from the time when XRP began to dip from $0.52 levels. For close to a week, the wallets have regularly picked up the token keeping its price steady in the indices.

The 1 million-10 million XRP holders now collectively hold 3.9 billion tokens worth a staggering $1.78 billion. The development represents their largest cumulative purchase in over a month. Santiment reported that shark addresses holding between 1,000 to 100,000 XRP are also in an accumulation mode. The shark addresses now hold around 6.38 billion tokens which are approximately worth $2.9 million.

Also Read: BRICS Countries Buying Large Amounts of Gold To Topple the U.S. Dollar

Source: Santiment

In addition, the Ripple blockchain saw a surge in daily active addresses this month. The network activity attributed to nearly 25,409 on April 23 after its price reached $0.47. The development could be attributed to investors that sought to leverage the price increase hoping for another rally.

Will XRP Trigger Another Price Rally?

Ripple XRP Whale
Source: Newsbtc.com

If the accumulation spree from both the whales and sharks gains momentum for another week, XRP could be poised for a price rise. Digital assets data provider Kaiko published a report that XRP’s previous rally occurred due to high demand from retail investors. The demand sent the crypto to $0.57 and the same structure could see a repeat.

Kaiko also revealed that the token rallied as Korean investors grabbed XRP in increasing numbers. However, the Korean buying spree has been subsidized now, as it recorded a balance between buy and sell orders.

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At press time, Ripple’s native token was trading at $0.46 and it is up 2.1% in the 24-hour day trade. However, it is down 86.18% from its all-time high of $3.40, which it reached in January 2018.