Amidst price decline to $0.51, XRP whale transactions surge by an impressive 198%
Transactions involving XRP whales have recently experienced a significant surge, skyrocketing by a staggering 198% in the past 24 hours. This surge comes as the cryptocurrency has witnessed widespread sell-offs, causing its price to plummet to the $0.51 support level.
Data from Santiment confirms this observation, showing a surge in engagement from XRP whales. Interestingly, transactions valued at least $100,000 saw a significant decline on January 27 and 28, dropping below both the 400 threshold and the monthly average.
However, these transactions saw a slight increase on January 29, as XRP took advantage of Bitcoin’s recent resurgence to potentially reverse its downward trend. The asset eventually retested $0.54 for the first time in a week. During this upswing, transactions worth at least $100,000 rose to 613 on January 29.
Unfortunately, XRP faced strong resistance at the $0.54 psychological level, resulting in a substantial decline in its price. The broader market also weakened, exacerbating the bearish pressure on XRP.
Despite the persistent declines, transactions involving XRP valued at $100,000 and above experienced a notable spike, reaching a yearly peak of 1,827 yesterday. This surge represented a staggering 198% increase compared to the value observed on January 29.
Alongside the surge in large transactions, XRP’s social activity has also seen a significant increase. According to Santiment, social volume for XRP has surged by 105% in the past 24 hours, reaching a yearly high.
The spikes in large transactions and social volume have coincided with the recent collapse of XRP. Following the slump yesterday, the token has struggled to maintain the $0.51 support.
These struggles continue despite recent advancements in the XRPL ecosystem. Notably, the network was recently updated to v.2.0.1, and there is growing support among validators for the upcoming native AMM feature, with the XLS-30 amendment receiving more “Yes” votes.
Nevertheless, with a lack of support from the broader market, XRP dropped to $0.5022 earlier today. Although the asset immediately recovered from this drop, it is currently facing difficulties in successfully defending the $0.51 support.
At the time of writing, XRP is trading at $0.5095, with bears aiming to push the price below $0.50. If the $0.50 level is relinquished, the $0.4962 support will come into play. To maintain its position above $0.51, XRP must surpass the $0.5264 mark.
Read more: Standard Chartered predicts that Ethereum ETF will be approved by May 23.
