In the vast ocean of cryptocurrencies, there are some big fish making waves. We are talking about the "whales" of the crypto world, and when it comes to XRP, they are making some serious splashes. Even though XRP Ledger has seen a bit of a lull in whale activity this year compared to 2021 and 2022, these big players are not just sitting on the sidelines.
Recent data indicates that wallets holding between 100K and 100 million XRP now possess a staggering $7.89 billion in coins. This is an increase from the $7.16 billion held a year ago, translating to an additional accumulation of approximately $730 million within a year. This continued accumulation, even amid reduced whale activity, underscores the confidence these large holders have in XRP's potential.
Turning our attention to XRP's price performance, the cryptocurrency is currently trading at around $0.5006. A detailed analysis reveals that XRP has recently fallen below the 200 Exponential Moving Average (EMA), a technical indicator that many traders consider a significant benchmark for a long-term trend direction. This descent below the 200 EMA can be a bearish sign, suggesting potential downward pressure on the price.
However, there is a silver lining. XRP has managed to find support at the local level, precisely at $0.5. This support level could act as a cushion, preventing further declines and possibly serving as a launchpad for future rallies. Additionally, the moving averages are converging, indicating an EMA squeeze. Such a squeeze can often precede a significant price movement, though the direction – upward or downward – remains to be seen.
The continued accumulation on the market, even in the face of reduced overall whale activity, hints at a bullish long-term outlook for the cryptocurrency. As always, investors and traders should conduct do their due diligence in order to avoid unnecessary losses.