In what appears to be a potential selloff move, millions of XRP are on the move by wallets connected to American blockchain firm Ripple Labs Inc.
Data from the crypto analytics platform Whale Alert shows two distinct XRP transfers from Ripple Labs this week. These transfers include one involving 46,340,000 XRP and another with 27,100,000 XRP within 24 hours.
These transfers were initiated at a time when the price of XRP had entered a bullish recovery phase, jumping by 1.7% in 24 hours to $0.5339. The market cap and trading volume are also up by 1.7% and 47.99% to $28,968,816,778 and $909,811,046, respectively.
Ripple Labs’ Latest XRP Plays
The 46,340,000 XRP transferred from Ripple is valued at $24,746,250 or an average of $0.5340 per token. This transfer came from an address that Ripple regularly uses, as showcased by the activity log on the Bithumb Explorer.
The funds were notably moved to another address controlled by the company, underscoring how less concerning this particular transaction is.
The second transfer, featuring 27,100,000 XRP, is worth $14,572,197. These funds originated from a Ripple-owned wallet that was activated on January 18, 2023. This wallet has been in active service since then, with a total balance of 20,183.28 XRP as of the time of writing.
Ripple sent the 27.1 million XRP to Bitstamp, changing the entire scope of the motive behind this move compared to the first transaction.
Transfers to crypto trading platforms are typically billed for liquidation, and Ripple’s XRP push to Bitstamp is not an uncommon trend. The company has initiated a series of related transactions over the past few months.
Are the Transfers a Source of Concern?
Ripple Labs plays a key role in the operational management of the XRP market liquidity, one that it is closely watched for.
The company not only releases XRP from escrow as it is bound to do in a few days, but it also conducts similar transactions for diverse liquidity balancing measures to help power a healthy market.
As a large-cap crypto, the combined $39,318,447 from both transactions is not enough to trigger any major price drawdown.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
-Advertisement-
