On-chain data shows that XRP whales participated in a massive accumulation last week, which could be bullish for the asset’s price.
XRP Whales Bought Over 140 Million Tokens Last Week
As explained by analyst Ali Martinez in a new publish In X, XRP whales have recently increased their share of the supply. The on-chain relevance indicator here is the “Supply Distribution”from analytics firm Santiment, which tells us the total amount of tokens a given group of wallets holds.
Addresses or investors are divided into these groups based on the amount of coins they hold in their balance. For example, the 1-10 coin group includes all wallets that hold at least one and a maximum of ten tokens of the asset.
If supply distribution is applied to this group, it will tell us how much supply such addresses have to satisfy this condition.
In the context of the current discussion, the whales are the cohort of interest, which can be defined as holders who hold between 1 and 10 million XRP. At the most recent exchange rate, this range translates to $600,000 on the lower end and $6 million on the upper end.
These investors are quite large. The influence of any entity on the market generally increases the more assets they hold, so whales, with their massive holdings, can be considered influential beings.
As such, it’s worth keeping an eye on what this group is doing, as it may at least provide insight into sentiment among these huge holders.
Below is the graph shared by the analyst that shows the Supply Distribution data for this group.
As displayed in the chart above, it was observed that the supply held by XRP whales increased significantly last week. These investors added 140 million tokens (worth over $84 million) to their holdings within this window.
This wave of cohort accumulation occurred while the cryptocurrency was already trading at relatively high levels following its latest launch. recovery rally. Thus, the purchase would suggest that whales believe there is potential for further upside.
It now remains to be seen whether the bet of these giant holders works, with the price continuing to rise. However, the metric may be monitored in the coming days, as any reduction in it could be bearish.
XRP Price
At the time of writing, XRP is trading around $0.60, up nearly 4% over the past seven days.