XRP Whale Withdraws $52M From Binance, Can It Help Reverse Price?

XRP

Data shows an XRP whale has withdrawn $52 million in the token from Binance, something that might help the crypto turn around from its recent bearish trend.

XRP Remains Weak, Declines Another 10% During Past Week

This month of December hasn’t been kind to XRP investors as the asset’s value has only been going downhill during the period. While other cryptocurrencies have also been suffering, XRP’s decline has been worse than bigger coins like Bitcoin and Ethereum.

At the time of writing, the cryptocurrency is trading around $0.34, down 1% in the last 24 hours. The below chart displays the trend in the price of the coin over the last 30 days.

The value of the crypto seems to have taken a big hit in recent days | Source: XRPUSD on TradingView

As shown in the graph, the coin was initially consolidating sideways during the period, but recently the trend has changed towards a full-blown drawdown for the crypto. In the past week (which covers the period of the sharp decline), XRP has shed around 10% in its value. For comparison, Bitcoin and Ethereum are down 4% and 6%, respectively, during the same period.

The performance of XRP over the last 30 days hasn’t been as bad; the asset’s investors are down only 3% in this timespan. In terms of month-to-date returns, however, the picture is more bearish as the token has dropped by more than 15% in value.

XRP holders had been hoping for a Christmas rally, but so far, the price action hasn’t started any buildup toward it. There has, however, been a sign in the on-chain activity that may turn out to be positive for the asset.

XRP Whale Transfers Out $52 Million From Crypto Exchange Binance

As per data from crypto transaction tracker service Whale Alert, a large transaction has taken place on the Ripple blockchain in the last few hours that involved the movement of 150 million XRP, worth around $52.1 million at the time of the transfer.

Transactions so large are usually a sign of activity from a whale, and can sometimes have noticeable impacts on the market. Here are some additional facts about the transfer that may reveal why the whale made this move:

Details of today's massive transfer on the Ripple blockchain | Source: Whale Alert

It looks like the sending address in the case of this transaction was a wallet attached to the crypto exchange Binance, while the receiver was an unknown wallet, likely a personal address. Generally, investors make such outflow transfers from exchanges to wallets outside any centralized platform for accumulation purposes. Thus, this large outflow from the whale could suggest that they are bullish on XRP and, therefore, could be constructive for the price.

Featured image from Thomas Lipke on Unsplash.com, chart from TradingView.com

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