Key Insights:
- Whales holding 10 to 100 million XRP sold 40 million tokens over 24 hours.
- The U.S. SEC delayed approval of the Franklin Templeton XRP ETF, fueling negative sentiment.
- Large sell orders above $3.05 continue to pressure XRP’s price despite the ETF launch.
Anticipation surrounding the launch of the REX-Osprey XRP ETF and other upcoming ETFs has stirred investor sentiment, but XRP whales are betting against the hype. According to on-chain data from Santiment, whales holding between 10 million and 100 million XRP offloaded a substantial 40 million coins over the past 24 hours. This continues a trend of liquidation that has been ongoing for weeks, reflecting a pessimistic outlook among major XRP investors.
Despite the expected launch of the REX-Osprey XRP ETF today, sentiment in the XRP market remains muted. A major supplier, the whales, which possess over half the supply, has been cautious and has sold millions of coins within recent days. The fact that the spot XRP ETF is not approved yet by the U.S. SEC, as well as fears of underperforming demand on the part of institutional investors, has also worked to tamp down expectations.
A similar ETF, the REX-Osprey Solana + Staking ETF (SSK), has seen a modest $205 million in inflows since its launch, signaling the potential lack of enthusiasm among large investors for the XRP fund.
Whale Sell-Offs Pressure XRP Price Action
On-chain data shows that whale activity continues to influence XRP’s price dynamics. According to Whale Order and Large Trades data from platforms like Binance, Coinbase, and OKX, massive sell orders have been placed above the $3.05 mark on spot and perpetual trading pairs. Additionally, short positions have been opened between the $3.3 and $3.6 range, creating downward pressure and making it challenging for bulls to push the price higher.
The continued distribution from whales has significantly impacted XRP’s price movement. CryptoQuant’s XRP Whale Flow 30-DMA data indicates that whales remain in sell mode, as the price of XRP faces significant resistance. This is in line with the past trends where the XRP price was at its peak, and then there was hard selling, and it started to go down. The fact that there is no overall volume of trading in the market has also made the challenge of maintaining an upward momentum of price hard, with XRP trading at approximately 3.05.
Market Activity and Future Outlook
Over the past 24 hours, XRP’s price saw a slight increase of over 1%, trading between $2.98 and $3.07. However, derivatives data from Coinglass revealed a decline in XRP futures open interest, signaling a drop in trader confidence. Despite the ETF launch today, market participants remain cautious, and XRP’s price could face further volatility if whale distribution persists. With the U.S. SEC’s recent decision to delay the Franklin Templeton XRP ETF approval, market sentiment is expected to remain under pressure in the short term.
