coinjournal.net
Key takeaways
- $XRP is down 1% in the last 24 hours but could rally to the $2.80 level soon.
- Ripple co-founder Chris Larsen reportedly sold roughly $120 million in $XRP.
Larsen sells $120M worth of $XRP tokens
On-chain data from CryptoQuant reveals that there has been a $120 million outflow from Larsen-linked wallets. This latest development comes as $XRP lost 1% of its value in the last 24 hours.
The sell-off also coincides with the ongoing attempt to fund the GTreasury acquisition. Ripple recently announced a $1 billion fundraising aimed at acquiring the treasury management company GTreasury.
However, the acquisition news hasn’t positively affected $XRP’s price as the coin has faced heavy selling pressure in recent weeks. $XRP’s loss coincides with a broader decline in risk assets, with Bitcoin and Ether also recording huge losses over the past few weeks.
$XRP’s price could soar higher in the near term as $XRP addresses holding over 100 tokens were rising in numbers. This is despite $XRP losing 35% of its value since hitting the multi-year high of $3.66 in July.
$XRP eyes $2.80 despite bearish conditions
The $XRP/USD 4H chart remains bearish and inefficient as the coin has failed to pump following the October 10th crash. Currently, $XRP is consolidating inside a descending parallel channel, and could surge towards the $2.80 resistance level in the near term.
The $2.80 resistance level also coincides with the 0.618 Fibonacci retracement line, making it a key area to watch as we approach the end of another month. Breaking above the $2.80 resistance would allow $XRP to confirm a bullish reversal pattern and rally towards the $3.05 or even $3.40 levels in the weeks ahead.
$XRP/USD 4H Chart">
The RSI of 52 shows that the bulls are regaining control, with the MACD lines also about to cross into the positive region.
However, failure to sustain a bullish run will see $XRP drop lower in the coming weeks. Its performance will depend on the broader risk appetite across crypto and equities. If the bearish trend persists, $XRP could drop below the $2.2 support level over the next few hours.