XRP Whales Accumulated Nearly 900 Million XRP Tokens Throughout April, Defying Market Uncertainty

By Coin Edition Updated Apr 30, 2023 at 1:13 a.m. PDT. XRP whales accumulated nearly 900 million XRP tokens throughout April, defying market uncertainty and ongoing regulatory noise

Large holders, known as whales, of XRP accumulated nearly 900 million tokens in April. This activity unfolded amid market uncertainty and ongoing regulatory noise affecting the cryptocurrency sector.

While a segment of the crypto community was engrossed in Bitcoin narratives and speculative rumors regarding U.S. government Bitcoin reserves, substantial holders of XRP engaged in significant moves.

XRP’s price experienced a brief dip to around $1.60 in early April but encountered resistance at a crucial level.

As indicated by the chart from crypto analytics firm Santiment, XRP’s price quickly recovered from lows of $1.60 reached on April 4. The recovery was fueled by strong buying pressure at lower prices, which is evident in the high volume of transactions at lower price ranges.

From the lows, XRP’s price encountered resistance at a key level. After testing the resistance zone at 2.25-2.28, the price faced strong selling pressure and encountered immediate rejection.

Its price crossed back over $2.20 by month’s end. This recovery coincided with heavy buying from whale addresses, showing confidence in XRP’s long-term prospects despite broader market volatility.

Its funding rate has also turned positive, according to the latest data from crypto derivatives market analysis firm Coinglass.

The funding rate is a term used in the crypto futures market to keep the price of futures and the actual market price close or in "perpetual contracts." It is paid by the party with less holding to the party with more. A positive funding rate indicates that buyers are paying to keep the price up, while a negative funding rate indicates that sellers are paying to push the price down.

In the past few days, XRP’s funding rate has changed a few times. For example, on April 30, it was in the red for a short period, which shows that sellers were in control. But on May 1, it turned green, showing buyers have taken over.

This change in funding rate is a good sign for XRP, as it shows traders are becoming more optimistic about its price going up.

Yesterday, May 1, the price of XRP went up and touched a key resistance area, which is 2.25. However, it couldn’t break through and quickly dropped back.

The price is likely to face sellers at this resistance zone, which is 2.25-2.28. Sellers were very strong at this level, and the price was rejected immediately after hitting it.

After testing the resistance, the price of XRP is now testing the support zone, which is 2.17-2.14.

If the bears become stronger, the price of XRP could drop further, and the next support level is around 2.05 in a worst-case scenario.

However, for now, it seems like the bulls are still in control, and the price of XRP is likely to remain in an uptrend.

The post XRP Whales Accumulate Nearly 900 Million Tokens In April As Price Surges 150% Annually, What’s Next For $XRP appeared first on CryptoWorldTech.