Key points
- XRP fell about 1% in the past 24 hours but could soon rally toward the $2.80 level.
- Ripple co-founder Chris Larsen is reported to have sold roughly $120 million worth of XRP.
Larsen Sells Approximately $120M in XRP Tokens
On-chain data from CryptoQuant revealed an outflow linked to a wallet associated with Larsen amounting to about $120 million in XRP. This movement came as XRP lost roughly 1% of its value over the last 24 hours.
The sale aligns with ongoing efforts to fund the acquisition of GTreasury. Ripple recently announced plans to raise $1 billion to finance the purchase of the treasury management firm GTreasury.
Despite that acquisition news, XRP has faced heavy selling pressure in recent weeks, and the announcement has so far done little to buoy the token’s price. XRP’s recent losses mirror a broader pullback in risk assets, with both Bitcoin and Ethereum recording significant declines over the same period.
At the same time, the number of XRP addresses holding more than 100 tokens has been increasing, which could support a short-term price surge. This comes even after XRP has shed about 35% of its value since hitting a multi-year high of $3.66 in July.
XRP Eyes $2.80 Despite Bearish Conditions
The XRP/USD 4-hour chart remains bearish and fragmented after the sell-off on October 10, as the coin has struggled to sustain upward momentum. Currently, XRP is consolidating inside a descending parallel channel but could spike toward the $2.80 resistance level in the short term.
The $2.80 resistance also aligns with the 0.618 Fibonacci retracement level, making it a notable area to watch as the month progresses. A decisive break above $2.80 would confirm a bullish reversal pattern and could propel XRP toward $3.05 and potentially $3.40 over the coming weeks.
Technical indicators show the RSI near 52, suggesting bulls are beginning to regain control, and the MACD line is approaching positive territory.
However, if bulls cannot sustain the momentum, XRP is likely to decline in the coming weeks. Its performance will depend heavily on overall risk appetite across cryptocurrencies and equities. If the bearish trend persists, XRP could fall below the $2.20 support level within hours to days.