Ripple Update: Surge in Whale Activity Follows $112 Million Theft; What Lies Ahead for XRP Price?

The XRP cryptocurrency and its underlying network, XRPL, faced a significant test of security on Wednesday when unauthorized individuals gained access to Chris Larsen’s account, resulting in substantial losses. Analyst ZachXBT revealed that approximately 213 million XRP, equivalent to $112 million, were stolen from Larsen’s XRPL account and subsequently laundered through various cryptocurrency exchanges such as Binance, Kraken, MEXC, OKX, and HTX.

However, both Larsen and Ripple CEO Brad Garlinghouse confirmed that no Ripple accounts were compromised, and the majority of the funds have been frozen to prevent further losses.
In response to irresponsible speculation and reporting, Garlinghouse emphasized that no wallets managed by Ripple were affected in any way.
In recent data analysis conducted by market intelligence platform Santiment, it was revealed that the frequency of XRP whale transactions, involving large amounts of the cryptocurrency, has reached a multi-month high. Specifically, Santiment identified 217 XRP whale transactions exceeding $1 million on Wednesday. Despite this heightened activity, the majority of XRP, approximately 67.2 percent, is still held by over 10 million XRPL wallets, marking the highest number since December 2022.
Looking at the future of XRP’s price, it is worth noting that in January, for the first time since July of the previous year, the XRP price closed below the 50-month moving average. This signifies increased bearish pressure. Additionally, the rising trend characterized by higher highs and higher lows has been invalidated after the XRP price fell below the critical support level of around 53 cents in recent weeks. Consequently, it is highly likely that the XRP price will continue to decline in the short term, at least until there is legal clarity surrounding the cryptocurrency.
Tags: Ripple (XRP)