Ripple sell-offs and whale activities are things of concern for the XRP community, alongside potential sell-offs amidst market volatility.
However, Ripple’s XRP has experienced a huge decline despite the fact that it is still trading above $0.50. Additionally, the XRP community was confronted with discontent as a result of Ripple’s significant sell-off and noticeable whale activities.
In addition to these worries, Ripple recently carried out a substantial transfer of 120 million XRP coins which has heightened concerns about a potential sell-off taking place in the midst of rising market volatility.
In addition, this comes after the United States Securities and Exchange Commission (SEC) emerged victorious in the dispute that Ripple was involved in against the regulator.
Recently, the Securities and Exchange Commission (SEC) was successful in its move to compel Ripple to provide its financial statements that involve XRP.
The volatility that is now present in the price of XRP has been exacerbated by these developments.
A significant XRP transaction that was initiated by Ripple, the parent firm was brought to light in a report that was just published by Whale Alert, which is an on-chain tracking tool.
The XRP community has been upset as a result of this big transfer, which has provoked discussion regarding the possibility of downward pressure on the price of XRP despite the recent bounce.
Ripple reportedly sold 120 million XRP tokens which have a value of $60.88 million, and directed the transaction to a wallet that has not been published, as reported by Whale Alert.
On the other hand, according to data provided by Bithomp Ripple’s XRP reserve is now holding $80 million worth of XRP tokens which is equivalent to $40.27 million.
Prior to that, on February 1st, Ripple added 200 million XRP tokens to its reserve which indicates that it sold off sixty percent of the newly acquired tokens. The issue has become even more complicated as a result of the appearance of yet another noteworthy whale transaction, as reported by Whale Alert.
A significant cryptocurrency exchange with headquarters in Luxembourg, Bitstamp, was the recipient of the whale transaction, which entailed the transfer of 28.85 million XRP tokens with a total value of $14.62 million.
The transfer, which was carried out through a wallet that has not been identified, has added gasoline to the fire of worry among the XRP community particularly in light of the fact that the cryptocurrency has lately risen back above $0.50.
As of the time of this writing, the price of XRP had decreased by 0.26%, reaching $0.5027 on February 6th. At the moment, the market capitalization of Ripple’s native cryptocurrency is $27.36. In contrast, its 24-hour transaction volume increased by 34.89 percent, reaching $795.55 million after the rise.
The latest bearish trend has made XRP’s losses even more severe, as it has dropped by around six percent over the course of the past week.
Ripple is now being sued by the Securities and Exchange Commission (SEC), and in January 2024, the SEC submitted a move to the Magistrate Court, which is being presided over by Judge Sarah Netburn, requesting permission to compel Ripple to reveal its financial records for the years 2022 and 2023.
In addition, the regulatory body requested access to information concerning post-complaint contracts that control the sales of XRP by institutions, as well as replies concerning the amount of proceeds that are received from the sales of XRP by institutions.
Additionally, the United States District Court for the Southern District of New York has granted each and every one of these requests.
In response to a request submitted by the Securities and Exchange Commission (SEC) in January, the Magistrate Court, which is governed by Judge Sarah Netburn, has granted permission to compel Ripple for the financial year 2022-2023.
As an additional matter, the regulatory authorities have requested that post-complaint contracts that regulate the institutional sales of XRP be disclosed, as well as responses to inquiries concerning the amount of revenues received from such institutional sales.
In addition, the United States District Court for the Southern District of New York has officially granted compliance with each and every one of these requests.
