Following the recent crypto market downturn, many investors have lost confidence about the future price prospects of leading cryptocurrencies, including XRP, and they have continued to sell in large quantities.
As selling pressure continues to intensify, a recent large XRP transfer has sparked discussions across the crypto market, suggesting that traders are moving with caution amid a broad market sell-off.
50,000,000 XRP sold in seconds
On Tuesday, Feb. 10, blockchain tracking platform Whale Alert spotted a huge XRP transfer involving 50,000,000 XRP worth over $70.37 million.
The transfer, which happened in a single transaction, saw an unknown wallet deposit the massive amount of XRP to the leading cryptocurrency exchange, Bybit, in a move perceived to be a major sell attempt.
Although the intention behind the large XRP transfer remains unclear, market participants have speculated it to be an attempt to sell off the tokens as transactions — often considered a sell signal when the tokens involved are returned to exchanges or trading platforms.
XRP price struggles to recover
It is important to note that the large XRP deposit has come during broad crypto market volatility, which saw leading cryptocurrencies record massive losses in their prices.
Notably, XRP was not an exception as the asset has fallen by more than half of its all-time high, currently hovering around the $1.40 mark while showing a decrease of 2.42% over the past day.
As crypto market volatility continues to linger, large deposits of XRP to exchanges, as seen earlier, expose the asset to further downward pressure. Hence, the massive deposit of 50,000,000 XRP to Bybit has sparked concerns among investors about its potential impact on the price of the asset.
Dan Burgin
U.Today Editorial Team