On-chain analysis suggests that XRP whales have recently increased their inflow transactions to Binance, potentially indicating an unfavorable outlook for the asset’s price. This trend has been highlighted by the surge in the "Whale to Exchange Transactions" metric, a key indicator of large-scale movements by significant investors within the market.
Whales, the most substantial investors on the network, possess the ability to influence market trends due to their substantial holdings. Tracking their activities is crucial, and the Whale to Exchange Transactions metric provides valuable insights.
A high value in this metric signals frequent transfers to exchanges, mainly for selling purposes. In contrast, a low value suggests whales are not inclined to trade away their holdings at the moment.
A recent CryptoQuant analysis shows a significant spike in the 7-day simple moving average (SMA) of XRP Whale to Exchange Transactions on Binance. This surge appeared just before XRP’s price rallied past the $3.3 mark, hinting that these large investors may have positioned themselves for the market upswing.
Despite this activity, XRP has maintained its valuation, suggesting whales haven’t fully sold off their holdings. The question remains: how long will they hold onto these profits if the cryptocurrency continues to exhibit a sideways movement pattern?
In terms of performance, XRP has ranked among the top performers in the market cap standings for the past week. The asset's price climbed by over 38%, though it has entered a cooling phase with recent flat consolidation. The following chart illustrates XRP's price behavior over the past month, highlighting this trend.