Since the beginning of October 2023, XRP has experienced significant volatility, possibly due to increasing concerns about the cryptocurrency’s future prospects. According to reports from Whale Alerts, this volatility seems to be intensifying as two recent large-scale XRP transactions have been sent to cryptocurrency exchanges, prompting investors to ponder the reasons behind these transactions and speculate on potential outcomes.
Specifically, on October 11th, transactions totaling over $26.5 million were sent from a single wallet address “r3zUh” to cryptocurrency exchanges Bitso and Bitstamp. The first transaction involved 31,200,000 XRP valued at $15,149,324 being sent to Bitstamp. Shortly thereafter, the second transaction transferred 23,700,000 XRP worth $11,502,941 to Bitso.
Further investigation into these addresses revealed other token transfers, including 2.1 million, 300,000, and 7.1 million XRP tokens to various cryptocurrency exchanges between these transactions. The wallet currently holds 4,660.55 tokens valued at $2,231.
Despite XRP’s market capitalization of $25.5 billion, these recent fluctuations coincide with a decline in its price. XRP has decreased by 1.79% over the past 24 hours, fueling rumors of whales selling off their assets. Notably, XRP has been particularly volatile with increasing selling pressure, declining by over 8.45% over the past 7 days. Online data has revealed numerous whale transactions on exchanges, suggesting that some whales may be offloading to avoid further price drops.
Furthermore, some whales have taken advantage of the situation to increase their holdings. Whale Alerts reported that just earlier this week, 50 million tokens worth $24.8 million were transferred from Crypto.com to private wallets.
Based on data analysis, there’s a strong possibility of a price increase in the coming quarter. As previously reported, the average return on investment (ROI) for Q4 has historically been around 30% for investors in recent years. However, whether the bulls or bears will prevail in the near future will likely depend on time.