The expected launch of REX-Osprey XTP ETF today and the anticipated approval of other XRP ETFs next month have boosted investors’ sentiment. However, XRP whales are betting against the ETF hype and continue to liquidate their holdings, on-chain data confirms.
Whales Offload 40 Million XRP: Santiment
Big whales holding 10 million to 100 million XPP sold 40 million coins over the last 24 hours, according to Santiment data on September 12. Whales continue to liquidate their holdings worth millions in the last few weeks, maintaining their negative sentiment.
The uncertainty surrounding spot XRP ETF approval by the U.S. SEC and muted trading volume have also delayed the much-needed XRP price rally. The SEC recently delayed the Franklin Templeton XRP ETF, one of the several ETFs in line for approval.
Moreover, Whale Order and Large Trades data on the K-line chart indicated massive sell orders above the 3.05 level in every spot and perpetual pairs at Binance, Coinbase, and OKX.
Also, whales have opened short positions between $3.3 and $3.6, which will make it difficult for bulls to continue upside despite the REX-Osprey XRP ETF launch today. The ETF may not witness enough demand from institutional investors, similar to REX-Osprey Solana + Staking ETF (SSK), which has recorded $205 million in total inflows since its launch last month.
On-Chain Data Reveals Whale Flow Remains Negative
Whale flows are still extremely negative as XRP faced renewed distribution pressure, similar to earlier this year. The ATH price top coincided with sustained whale distribution and a subsequent correction.
CryptoQuant’s XRP Whale Flow 30-DMA data signals extreme selling amid negative sentiment among XRP whales persists. This comes after more than 99% long-term holders were in profit, which triggered massive selloffs and caused XRP price to fall to $2.70 amid seasonality and market peak concerns.
XRP price jumped more than 1% in the last 24 hours, with the price exchanging hands at $3.05. The intraday low and high were $2.98 and $3.07, respectively. Trading volume climbed over 40% in the last 24 hours.
Moreover, Coinglass data revealed total XRP futures open interest dropped in the last 4 hours, after climbing almost 4% to $8.65 billion in 24 hours. CME, Binance, OKX, and other exchanges recorded selloff by derivatives traders.
Varinder Singh
Varinder is a seasoned leader in the fintech and crypto media with over 12 years of experience, including over 6 years dedicated to blockchain, crypto, and Web3 developments. He is known for covering high-impact and quality news stories for publishers such as CoinGape, The Coin Republic, and The Crypto Times, while perfecting and training multiple journalists during his tenure. Being a Master of Technology degree holder, analytics thinker, and tech enthusiast, he has shared his knowledge of disruptive technologies in over 5000 news articles and papers.
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Source: https://coingape.com/xrp-whales-dump-40m-coins-despite-etf-anticipation-heres-why/