#Content Mining & Earn Rich Commission#

The cryptocurrency whales quietly exited XRP in August.

While individual investors remain optimistic about XRP and expect prices to rise in August, on-chain data shows that whales have been gradually selling off their holdings.

Historical data also highlights a strong correlation between whale activity and the price of XRP. This correlation now raises concerns about XRP's outlook for August.

What does the correlation between whale activity and XRP price reveal?

Since late July, Glassnode data has indicated selling signals from long-term XRP holders. This selling pressure continued into August.

The XRPL Whale Flow metric tracks the net difference between the inflows and outflows of whale transactions on the XRP ledger. According to this data, whale flows turned negative and deep during the first week of August. This indicates that large wallets may be accelerating their XRP sell-offs.

The data also shows a similar pattern that occurred earlier this year, in January and February. At that time, the price of XRP peaked at $3.40 before sharply dropping to around $1.60. This decline coincided with a significant spread of "whales" (cryptocurrencies). The 50% price drop earlier this year highlights the impact these entities have on the price of XRP.
Additionally, CryptoQuant data reveals a sharp increase in the number of whale transactions sending XRP to trading platforms. On July 31, the number of these transactions exceeded 51,000. By August 4, this number remained high, exceeding 38,000.
This trend reflects the behavior at the beginning of the year. At that time, whale transactions to trading platforms rose to nearly 65,000. XRP did not collapse immediately, but the upward wave lost its momentum and entered a distribution phase.

When looking at my datasets together, we find that it is not only about the increasing outflows from whale wallets, but it also indicates an increase in whale deposits in exchanges, supporting the hypothesis of intensive selling in the first week of August.

However, there are possibilities that the whales may have already completed their sell-offs, and XRP may be preparing for a strong rebound.

There is a glimmer of hope supporting these positive expectations. The activity of outflows from whale wallets has slightly decreased since the beginning of the month. The XRPL whale flow chart shows that on August 1st, the net outflows were about -54 million dollars. By August 7th, this figure had decreased to -43.7 million dollars.

The latest analysis of XRP from BeInCrypto emphasizes the importance of maintaining the support level of $2.65 in the coming days.

Traders should monitor whale activity and XRP price movements. Forming a base near the support level may be a sign of trend reversal.