Ripple Labs’ native token, XRP price has been hit hard amid ongoing market uncertainty and is currently at a make-or-break point. The daily chart reveals that the asset has dropped over 7% in a single day, nearing a key support level at $2.04 and the 200-day EMA.
53 Million XRP Move to Coinbase, Time to Sell?
Given the current market structure and XRP price action, whales and traders maintain a strong bearish outlook, raising questions about whether the XRP price will hold this support or is preparing for a crash.
Recently, a blockchain transaction tracker, Whale Alert, shared a post on X (formerly Twitter) stating that over 53 million XRP tokens worth $118 million were moved to Coinbase in the past 24 hours. So far, this substantial transaction from an unknown wallet to Coinbase has not been confirmed as a sell-off.
However, the timing of these transactions coincides with XRP’s recent 7 % price dip, hinting that investors or whales might be preparing for a sell-off. Additionally, such transfers are typically linked to whales and may suggest a move in anticipation of a potential market crash.
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$91 Million Worth of Short Position at $2.268 Level
Besides these bearish transactions, data from the on-chain analytics tool Coinglass reveals that traders are also aligning with the current market sentiment.
Over the past 24 hours, traders are over-leveraged at $1.962 on the lower side, where they have built $43.60 million worth of short positions. On the other hand, $2.268 is another key level where traders have built $91.66 million worth of short positions, hoping that the price won’t rise above this level.
This metric indicates that traders holding short positions are currently dominating and controlling the market. Additionally, due to these significant bearish bets, it could be challenging for the asset’s price to breach this level, as it now acts as strong resistance.
Current price momentum
At press time, XRP is trading near $2.13 and has recorded a price dip of 2.65% over the past 24 hours. During the same period, it has garnered significant attention from traders and investors, resulting in a 75% surge in trading volume.
XRP price action and key levels
According to Trading View, XRP is currently near a key support level at $2.04 and is also retesting the 200-day EMA. With a 21% price decline, the XRP price reached a make-or-break point.
Given the current market sentiment, where whales and traders are strongly involved in bearish activity, questions arise about what XRP might witness next.
Based on recent price action and historical momentum, if the current sentiment remains unchanged, the XRP price is likely to continue struggling to gain momentum.
Meanwhile, if the downward pressure accelerates and the price falls below the $2 level, it could drop by 13% until reaching the $1.74 level. On the other hand, if bullish momentum returns or any positive developments occur, there is a strong possibility the asset could surge by 22%, reaching the $2.60 level.
