Recent on-chain data indicates that XRP whales have been active in substantial buying, which could explain the asset’s price increase.
XRP Whales Have Accumulated 470 Million Tokens Recently
Analyst Ali Martinez shared insights in a new post on X, noting that XRP whales have significantly increased their holdings over the past 10 days. The key metric in focus is the “Supply Distribution” from the on-chain analytics firm Santiment, which monitors the total number of tokens held by specific wallet groups at this moment.
Investors and addresses are classified into these groups based on their current balances; for example, wallets that hold 5 coins belong to the 1 to 10 coins category. In the context of this discussion, the addresses of the whales are particularly noteworthy.
This particular group is usually defined as holding between 100 million and 1 billion XRP. Based on current exchange rates, the lower end of this range is approximately $63.1 million, while the upper end reaches about $631 million. Generally, the influence an entity has on the network increases with the size of its holdings; thus, these whales, with their substantial balances, wield considerable power.
As such, monitoring the behavior of these investors can be valuable, as it may not directly influence the price but can provide insight into the overall sentiment of this group.
Here’s a chart showing the trend in the Supply Distribution of XRP whales over the last several days:
The chart illustrates a significant recent uptick in the supply held by XRP whales. Specifically, these large investors have added over 470 million (nearly $300 million) tokens to their wallets within the past ten days.
The chart indicates that most of this buying occurred while the asset was trading around the $0.58 level, suggesting that the whales viewed it as an opportune entry point.
The strategy of these investors appears to have been effective, as the price of the cryptocurrency has risen from just below $0.59 to above the $0.63 mark over the past weekend.
While the performance of the coin has been positive thus far, it will be important to monitor this indicator moving forward, as the subsequent actions of this cohort may once again influence the asset’s price.
Should the indicator continue to rise, it would be a bullish signal for XRP, implying that the whales are supportive of further price increases. Conversely, a decline could signal trouble, indicating that the whales are cashing out on their profits.
XRP Price
At the time of writing, XRP is trading at approximately $0.631, reflecting an 8% increase over the past week.
