XRP Price Analysis: 10% Up After Whales Dump $851 Million

XRP price has shown resilience, jumping 10.5% from its recent low to $2.30 as of February 26, 2025.

This rebound follows a major sell-off by large holders, or “whales,” who offloaded 370 million XRP, valued at $851 million, between February 21 and February 25, 2025.

Crypto analyst Ali Martinez highlighted this in an X post on February 26, 2025, noting the holdings of wallets with 10 million to 100 million XRP dropped from 6.94 billion to 6.56 billion XRP in four days.

While XRP saw a 10.5% increase in the past 24 hours, it remains down 9.5% over the past week and 18% over the past 30 days, reflecting ongoing volatility.

This comes as the broader crypto market faces a downturn, with Bitcoin dropping to $86,000, contributing to heightened fear, uncertainty, and doubt (FUD) among traders.

Market intelligence firm Santiment reports extreme bearish sentiment for XRP, often a sign of potential market bottoms.

Additionally, XRP’s open interest-weighted funding rate turned negative recently, a shift from positive rates in January and most of February 2025 according to Coinglass data.

Historically, negative funding rates have preceded price recoveries, suggesting a possible short squeeze if buying pressure increases.

XRP Funding Rate Shift

Adding to the mix, XRP’s open interest-weighted funding rate has turned negative, a shift from the positive rates observed in January and most of February 2025.

This indicator, which reflects the cost of holding leveraged positions, turned negative recently, signaling that short positions are more dominant.

Historical data, as noted in market analyses, shows that previous occurrences of negative funding rates have often preceded price reversals.

For instance, when the funding rate turned negative in past instances, XRP prices recovered shortly after, potentially due to a short squeeze where short sellers are forced to buy back XRP to cover their positions, driving the price higher.

This suggests that the current negative funding rate could be a precursor to increased buying pressure if market conditions shift.

XRP Price Analysis

XRP price hit $2.30 on February 26, 2025, up 10.5% daily, but stabilized at the 100-day EMA after falling from $3.00, per TradingView.

A rising trendline broke, signaling a market shift. The 100 EMA offers temporary support, not a reversal, as selling pressure lingers.

Without buyers, XRP price risks dropping to the 200 EMA at $1.72, potentially sliding to $1.50. If it holds above the 100 EMA, XRP could target $2.50–$2.75, regaining bullish momentum past $2.75. Watch volume and bearish sentiment, per Santiment, for XRP’s next move.