Despite Bitcoin reaching a new all-time high above $111,000, XRP and other altcoins continue to lag in reclaiming previous peaks. Over the past 24 hours, XRP price saw only a modest 3.6% increase despite a significant 250M token whale transaction. This analysis explores the factors behind XRP's stagnation and what traders can anticipate next.
XRP Price Stalls Despite Major Whale Accumulation
On-chain data reveals that on May 21, a whale address transferred nearly 250M XRP tokens from Kraken exchange. Historically, such large-scale accumulation by whales often triggers price rallies due to reduced exchange supply and heightened demand. However, this time, XRP's price barely budged, trading between $2.33 and $2.43 with minimal gains compared to peers like Solana and Cardano.
Key Factors Suppressing XRP's Rally
- Whale Selling Pressure: Santiment data indicates whales (holding 10M–100M XRP) dumped 100M tokens within 24 hours after the price briefly tested the $2.40 resistance level.
- Overleveraged Long Positions: Coinglass reports $3M in long liquidations, exacerbating sell-side pressure. Binance data shows a long/short ratio of 3.12, signaling overcrowded bullish bets.
- Bitcoin Dominance: As BTC absorbs market liquidity, altcoins like XRP face reduced investor interest.
**XRP Derivatives Snapshot**
| Metric | Value |
|-----------------------|------------------|
| 24h Long Liquidations | $3M |
| Long/Short Ratio | 3.12 (Binance) |
| Whale Net Sell Volume | 100M XRP |
What’s Next for XRP Price?
Short-Term Outlook
- Support Levels: A retest of $2.32** is likely, with potential slippage to **$2.16 if liquidations accelerate.
- RSI Indicator: Current RSI at 55 shows neutral momentum; a sustained upward trend could target $2.61.
Mid-Term Risks
- Leverage Reset: Overextended longs may trigger a correction to wipe out excess leverage, creating healthier conditions for a future rally.
Frequently Asked Questions (FAQs)
Q: Why didn’t XRP price rise after the 250M purchase?
A: Whale selling (100M tokens dumped) and long liquidations offset buying pressure, stalling momentum.
Q: How does Bitcoin’s ATH impact XRP?
A: BTC’s dominance drains liquidity from altcoins, delaying XRP’s recovery until market sentiment shifts.
Q: What’s the next key level for XRP?
A: Watch $2.32** as critical support; a breakdown could push prices toward **$2.16 before rebound potential.
👉 Explore real-time XRP price trends for live updates.