- XRP’s price faces a major headwind from two sources of heavy on-chain selling
- Whales have sold an average of $28 million of XRP every day for the last 90 days
- Ripple co-founder, Chris Larsen, compounded this pressure by moving another $140M to exchanges
XRP faces renewed doubts over its price stability as large-scale holders, ‘whales’, continue to offload large volumes of tokens. On-chain data from CryptoQuant shows that XRP whales have sold an average of $28 million a day for the past 90 days.
This uniform distribution has raised questions about the sustainability of the current price, particularly the $3 support level. A similar selling pattern in February, which saw daily outflows reach $64 million, preceded a notable price decline.
Related: XRP Whale’s $3.7 Billion Vote of Confidence in Ripple’s Push for a US Bank License
Despite this ongoing sell pressure, XRP has shown some resilience, with a 2% price increase over the past 24 hours, bringing it to $3.12 as of press time. The token’s market cap rose to $185.3 billion, supported by a 2.9% increase in daily trading volume to $6.11 billion. The price did show some upward momentum through the day, peaking at $3.17 before settling.
Source: CoinMarketCap
You’ll notice the volume-to-market cap ratio stands at a low 3.3%, which can indicate low liquidity. XRP’s Fully Diluted Valuation (FDV) currently sits at $312.8 billion, with 59.23 billion tokens in circulation out of a total supply of 100 billion.
Ripple co-founder’s large transfers add to the supply
A large XRP transfer from Ripple co-founder Chris Larsen further compounded the market pressure. Last week, Larsen moved approximately $140 million worth of XRP to exchanges right after the token hit its recent all-time high of $3.65. Blockchain trackers confirmed these transfers originated from wallets directly linked to him.
The movement of such a large volume from a key insider has reignited community concerns over centralized token control and the influence of these transactions on price trends. On-chain data indicates that Larsen still retains control over a massive 2.81 billion XRP, currently valued at around $8.4 billion.
This ongoing whale activity has created a noticeable disconnect between XRP’s price performance and its underlying on-chain fundamentals. While the price has shown some intraday strength, these on-chain metrics suggest that the bullish momentum is weakening.
