XRP Whale Transactions Exceeding $1M Drops 97%

XRP’s price could drop further as whale activity on the XRP Ledger has slowed considerably, signaling reduced participation from large investors.

According to Santiment data shared by Ali Martinez, the number of XRP transactions valued above $1 million has fallen by 97% in one week. This suggests that activities of institutions and large XRP holders have cooled significantly after a period of strong market participation.

XRP Whale Activity Drops Massively

Transactions exceeding $1 million on the XRP Ledger dropped from around 70 over the past week to just two today. A shared chart shows that this drop started slowly, with daily whale activity still well above 52 transactions on July 8.

However, things escalated quickly from July 9, with activities from this caliber of whales declining sharply. By July 12, what was once 70 transactions exceeding $1 million had dropped 97% to 2.

Notably, the decline aligned with the bearish XRP price momentum. Last week, the altcoin slumped over 6% as downward pressure sustained. The price decline has nearly wiped out the asset’s gain in July, which has declined from 14% at its intra-month high to just 3.5%.

While fewer whale transactions do not necessarily signal a bearish outcome, they often indicate reduced market participation by major players. Combined with the recent weakness in XRP’s price, the decline suggests that large investors may be waiting for stronger market confirmation before moving holdings again.

XRP Price Gameplan

Meanwhile, analyst Cryptoinsightuk shared what he noted was his XRP plan for a while now. The technical insight is simple: the coin drops further to a key support area, forms a durable base, then breaks out to higher prices.

An accompanying daily chart shows XRP continuing to trade beneath a well-defined descending trendline. This resistance has capped prices since the swing high of $1.55 on May 14.

Price is currently hovering around $1.08, while immediate horizontal resistance sits near $1.11. There, the descending trendline intersects with the horizontal resistance. Notably, XRP retreated to this level after a rejection at the descending trendline on July 4.

The analyst highlights the possibility of one more decline into a demand zone between $0.90 and $0.94. Per the commentary, the area is a potential long-entry region, where buyers may sustainably absorb selling pressure before a larger recovery develops. XRP would have to drop 12.6% to 16% from the current price to reach the key support region.

Possible Breakout if Support Holds

If XRP revisits this demand zone and buyers successfully defend it, the chart suggests a potential rebound that could first reclaim the descending trendline before targeting higher resistance levels. Such a move would strengthen the case for a broader trend reversal after several months of downtrend.

In the meantime, it remains to be seen if XRP offers this new low to market users. For over a month now, XRP has defended the $1 support, with each retest followed by a rebound. Although bears remain on top, a broader crypto market recovery and continued buying pressure from this support could see XRP start to rebound even before reaching the $0.90-$0.94 support.