Ripple once again raised concerns in… XRP community After the recent sale of XRP. This comes in the middle Unimpressive price action for XRPwhich continues to paint a bearish outlook for the cryptocurrency symbol.
Ripple sells 150 million tokens
Data on the chain Offers The cryptocurrency company offloaded 150 million XRP tokens ($78 million) on June 7. These tokens formed part of the 1 billion XRP tokens, which were recently unlocked as part of its programme. Open monthly warrantywhich is scheduled to last until 2027. As expected, this sale has raised concerns, given the impact many believe it could have on the market.
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Moreover, this sale comes on the heels of Ripple's recent unusual transactions, when the cryptocurrency company transferred 3 billion XRP tokens ($1.5 billion) across different wallets within 30 minutes. However, cryptocurrency analyst Michael Nardolello to explain Those transactions were essentially internal movements and re-sequestrations of collateral.
This recent sale of $150 million worth of XRP tokens will once again spark a theory Price suppression by Ripple. Although it has been revealed that the cryptocurrency company's XRP sales have no impact on prices on cryptocurrency exchanges, it undoubtedly adds to the bearish sentiment that cryptocurrency investors already have towards the token.
Furthermore, Ripple's XRP sales resulted in a positive supply shock, with more XRP tokens injected into circulation. Such a development tends to have a negative impact on the price of the cryptocurrency and can lead to significant price declines.
It is also worth noting that this sale comes at a time when market sentiment is trending towards… XRP is quite bearish As it could be. This is partly due to the fact that the encryption code remains one of the encryption codes Worst performing crypto assets Since the beginning of the year, with a year-to-date loss of more than 18%.
XRP will still be great
despite of Unimpressive price action for XRPCryptocurrency analysts continued to predict that the cryptocurrency token will still have a moment when it will see a price breakout and make a parabolic move to the upside. Cryptocurrency analyst Javon Marks I recently mentioned that XRP is about to make a name if it hasn't already.
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He made this statement while revealing a hidden bullish divergence formation on the altcoin's chart. He claimed that the price of XRP rose even more 63,000% in less than a year Last time this happened. He noted that such a move could be on the horizon again as XRP reaches its breaking point. Meanwhile, CryptoBull cryptocurrency analyst as well I predicted recently The cryptocurrency could enjoy a 28,900% rally and rise to $154.
At the time of writing, XRP is trading at around $0.49, down over 4% over the past 24 hours, according to Data From Coin Market Cap.
Featured image created with Dall.E, chart from Tradingview.com