In a surprising turn of events, Ripple’s biggest investors have significantly increased their XRP holdings by over 90 million tokens in just two weeks. This substantial accumulation is creating a sense of optimism among XRP enthusiasts, who are hoping for a potential price resurgence. Explore the implications of this whale activity on the future of XRP’s market performance.
XRP, the cryptocurrency closely associated with Ripple, has been facing a challenging market environment in recent times. Its price decline has been attributed to various factors, including broader market trends, but there is also an interesting development occurring within the Ripple investor community.
Ripple CTO’s Strong Rebuke Amidst ETHgate Controversy
Ripple’s Chief Technology Officer (CTO), David Schwartz, recently engaged in a social media skirmish as he took to X (formerly Twitter) to respond to Charles Hoskinson, the founder of Cardano. Hoskinson had mentioned a conspiracy theory called “ETHgate” during an Ask Me Anything (AMA) session, suggesting that the Securities and Exchange Commission (SEC) had shown favoritism by not considering Ethereum as a security while targeting other tokens, like XRP.
Hoskinson argued that this favoritism was not necessarily corruption but rather a demonstration of how the internet works. In contrast, David Schwartz disagreed, stating that government actors showing favoritism aligned with personal interests could indeed be viewed as corrupt.
This exchange is indicative of the ongoing tension between cryptocurrency enthusiasts, including those associated with Ripple, and regulatory bodies like the SEC. The debate around regulatory practices continues to influence market sentiments.
Ripple Whales Accumulate Over 90 Million XRP in Two Weeks
Meanwhile, a significant development has occurred within the Ripple ecosystem, potentially holding the key to a price recovery for XRP. Large investors, often referred to as “whales,” holding between 1 million and 10 million XRP, have been actively accumulating XRP tokens over the past two weeks. Their collective holdings have surged by over 90 million XRP, amounting to approximately $43 million, bringing their total holdings to 3.84 billion XRP.
The actions of these whales have been closely monitored since December 2022, and they have played a pivotal role in driving XRP’s price fluctuations. Their recent accumulation could be seen as a bullish sign, suggesting that XRP’s price might be poised for a recovery after a prolonged downtrend.
Ripple Supporter Criticizes US House Financial Services Committee (FSC)
In another development, John Deaton, a prominent supporter of Ripple, shared his views on the United States House Financial Services Committee (FSC). He responded to a tweet from Fox journalist Eleanor Terret, who highlighted that Oversight Committee Chairman James Comer had threatened to use subpoena power over Gary Gensler and the SEC in his latest letter. The letter emphasized that nothing should authorize the Commission to withhold information from Congress.
Deaton’s comments indicate that Ripple’s supporters are closely watching and sometimes challenging the actions of regulatory bodies, underscoring the ongoing tension between the cryptocurrency industry and traditional financial oversight.
Technical Analysis Of XRP’s Price
At the time of writing, XRP is trading at $0.48, hovering just above a critical support level of $0.47. The cryptocurrency has experienced an 11% decline over the past nine days, with bearish sentiment prevailing.
A drop below the $0.47 support level would erase the 13.7% gains XRP achieved in the second half of September, which briefly pushed its price to $0.54. However, if XRP manages to bounce off the $0.47 support and reclaim the $0.50 resistance as a support floor, there could be room for further recovery.
Breaking above the confluence of the 50-day and 200-day Exponential Moving Averages (EMAs) at $0.52 would invalidate the bearish outlook and potentially set XRP on a path to reclaiming the $0.54 price level.
In conclusion, while XRP has faced challenges, including regulatory concerns, recent whale accumulation and market dynamics suggest that a recovery may be on the horizon, provided key support levels are maintained. The cryptocurrency’s price trajectory continues to be closely watched by investors and enthusiasts alike as the industry navigates its way through regulatory complexities.