Whales, the large investors in the crypto space, have been actively accumulating XRP tokens over the past three weeks, according to recent data. This trend of accumulation by the whales has sparked curiosity and speculation among crypto enthusiasts, indicating a bullish sentiment towards Ripple’s remittance token. The accumulation of approximately 52 million XRP tokens, worth over $22 million, has been observed primarily among XRP whales with addresses holding 10 million to 100 million XRP. The increase in accumulation began on May 7 following a considerable sell-off pressure in April.
Individual motivations for the sudden surge in accumulation may vary, but several plausible explanations shed light on the underlying dynamics at play. One significant factor could be the anticipation of positive developments within Ripple’s ecosystem, such as new partnerships or advancements in the adoption of Ripple’s token for cross-border transactions. Furthermore, the recent regulatory clarity around Ripple’s legal battle with the U.S Securities and Exchange Commission may have contributed to the increased confidence among whales. As Ripple continues to make progress in the legal proceedings, the resolution of the case could potentially remove a major overhang on XRP’s market sentiment, paving the way for renewed optimism and investment.
It is essential to note that such developments often drive demand for Ripple’s token, prompting investors to accumulate the token in anticipation of future price appreciation. Meanwhile, following the accumulation of whales, XRP has shown an upcoming uptick, with Ripple’s token seeing a 1% gain over the past 24 hours. At the time of writing, Ripple’s token trades at $0.47.