Breaking News: Whales Move 28M XRP as Ripple vs SEC Deadline Nears
In the ongoing legal battle between Ripple and the SEC, investors are watching closely as they await clarity. XRP has maintained its position at the critical $0.54 level, which is essential to prevent further market dips. However, there has been a surge in XRP transfers to centralized exchanges by a whale with a wallet address of “r4wf7…h4Rzn.”
🚨 28,240,000 #XRP (14,948,393 USD) transferred from unknown wallet to #Bitstamphttps://t.co/i2ylQpwXGx
— Whale Alert (@whale_alert) May 5, 2024
Whales Movements Creating Panic Sell-Offs: A Closer Look
This whale has transferred 28.24 million XRP tokens, valued at around $14.94 million, to the Bitstamp exchange, sparking speculation about the reasons behind these transactions. Some analysts believe it could indicate a strategic selloff, suggesting uncertainty about XRP’s future due to ongoing legal issues. Others speculate that it might be part of Ripple’s liquidity management strategy.
Read Also: Hoskinson and XRP: A Feud Simmers On
The Impact of Sec Response and Potential Challenges
Investors are waiting for the SEC’s reply brief, which is due by May 6. Ripple has contested the inclusion of testimony from Andrea Fox, arguing that her identity and testimony weren’t disclosed during discovery. However, the SEC defended Fox’s role as a summary witness, exempt from disclosure requirements. Ripple’s reply brief highlighted the SEC’s failure to address key cases cited in its motion. Legal experts like Bill Morgan predicted Ripple’s potential loss, with some suggesting a deposition for Ripple.
XRP Price Action
Despite the market volatility, XRP has risen over 2% as crypto recovers. XRP’s price surged over 2.59% in the past 24 hours, and it is currently trading above $0.5436 with a market cap of $29.8 billion. Ripple’s move to lock 800 million XRP in escrow last week has reduced circulating supply in three separate allocations: 100 million, 200 million, and 500 million. Furthermore, Ripple’s transfer of another 60 million XRP to an unknown wallet has also sparked speculation within the XRP community.
The derivatives market has witnessed significant buying activity, with XRP futures open interest exceeding $1.42 billion XRP. This buying activity has driven XRP’s surge of 2.59% and 9% over the week. Derivatives traders are gearing up ahead of the SEC’s impending reply to Ripple’s opposition to Fox’s testimony.
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Kayode Michael is a seasoned cryptocurrency analyst, successful trader, and skilled writer with a strong command of cryptocurrency analysis and price action. He leverages his technical analysis skills to provide valuable insights into emerging market trends and potential opportunities for investors to make informed decisions.
