XRP Users Move Funds Away From Exchanges as Inflows on Crypto Market Increases
XRP whales are moving their funds away from exchanges as inflows on the cryptocurrency market increase in general.
Two large transfers from exchange wallets
The first transaction shared by whale-tier transaction tracker WhaleAlert appeared three hours before press time with 162 million XRP being moved from the Nexo exchange. The large transaction appeared only a few hours before the asset spiked down by 4.3%. After the large transfer, the exchange's hot wallet holds only two million XRP coins.
🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 162,122,000 #XRP (138,172,383 USD) transferred from #Nexo to unknown wallethttps://t.co/C3yJeB6lt1— Whale Alert (@whale_alert) December 29, 2021
The second, less significant, transaction was made on the Binance exchange and was worth $11 million, approximately, against the previously moved $130 million. The large transaction was made to an unknown address that currently holds a mind-blowing 300 million XRP.
Both transactions were made during the large inflows trend, when users have been moving the major part of their funds to exchange addresses. Binance has reported 7,000 BTC reserves to increase as 65,000 BTC in total has been sent to exchange hot wallets, excluding decentralized exchanges.
XRP price action
Unfortunately for its holders, a stable exchange flow does not help XRP to continue trading above $0.9. The asset is currently trading at $0.83 after losing 16.8% of Its previously gained value in less than one week.
The first signs of a retrace have appeared on XRP after the asset started moving up on Dec. 20 and gained 21% in four days. In the long term, XRP has been continuously moving down since reaching its most recent high of $1.3.
During the long-term downtrend, the asset lost almost 40% of its value and even more compared to its all-time high of $2.Source