The data shows that the XRP whale has withdrawn $19.7 million worth of the token from Binance, which could be a sign that could be optimistic for the asset’s price.
XRP Whale transfers 50,304,136 coins from Binance
According to the cryptocurrency transaction tracking service whale warningover the past few hours, a major transfer of XRP has been seen on the Ripple blockchain.
This transaction involved moving the entire stack of 50,304,136 tokens, which was worth just over $19.7 million on the network at the time of the transfer.
Since the numbers involved here are quite large, the sender of this transaction is likely to be a whale. These huge investors form an important part of the XRP market as their wallet balances are quite large, giving them the ability to move large amounts quickly.
Particularly large transfers like today’s can be something to watch out for, as the sheer scale of the coins involved can sometimes cause noticeable price shifts. But how any such trade will affect the market depends on the exact intent behind it.
Here are the details of today’s transfer, which show which wallets were involved in it, which may help shed some light on its cause:
The large transaction that took place on the Ripple blockchain in recent hours | Source: Whale Alert
The send address for this XRP whale transfer (seen in the image above) was a wallet attached to the Binance cryptocurrency exchange, according to Bitomp. The recipient, on the other hand, was an unknown address that had no known connection to any centralized platforms and was thus likely a personal wallet.
Transactions like this, where coins are moved from an exchange to an external wallet, are referred to as “exchange outflows”. Typically, users withdraw their coins from these platforms to hold them for a long time, which means that a large outflow can have a bullish effect on the price.
In this case, a large outflow could indicate that the whale is accumulating XRP right now. If this is indeed the case, then the price may see a constructive effect in the long run from this.
However, another possible scenario is that the whale may have actually made this outflow in order to sell the coins through an over-the-counter (OTC) transaction. If so, then the asset could experience bearish selling momentum.
XRP Price
At the time of writing, XRP is trading around $0.39, up 6% over the past week.
Looks like the cryptocurrency has been moving sideways during the last few days | Source: XRPUSD on TradingView
The coin seems to have a market cap of $19.9 billion currently | Source: CoinMarketCap
Credit : www.newsbtc.com
