- XRP whales offload 1.18B coins, weakening market liquidity and short-term price stability
- On-chain data shows sustained whale exit, increasing XRP exposure to downside risk
- Price struggles below $2.20 as reduced whale support amplifies selling pressure
XRP is showing clear signs of stress after sustained selling from large holders altered the market’s balance. On-chain data reveals that whale wallets have reduced exposure steadily, weakening liquidity support and increasing short-term risk.
According to Ali Martinez, wallets holding between 1 million and 100 million XRP sold a combined 1.18 billion XRP over four weeks. This activity lowered their total holdings from nearly 4.8 billion XRP to about 3.62 billion XRP, reflecting a notable shift in positioning.
The distribution followed a consistent pattern rather than a single sell-off. On Nov. 24, balances within this group still hovered near recent highs. Holdings dropped significantly at the next checkpoint and extended lower again a week later. By mid-December, on-chain metrics confirmed a full four-week exit trend.
These wallets often act as a stabilizing force during market corrections. They typically absorb excess supply when retail participation slows. Consequently, their continued reduction removed an important liquidity cushion, leaving XRP more exposed to downside pressure.
Price action moved in the same direction. XRP failed to hold gains above the $2.10 to $2.20 range, while each rebound attempt weakened faster than the previous one. Moreover, the formation of lower highs highlighted fading buying strength.
As selling pressure increased, XRP slid toward the $1.88 to $1.90 area. Buyers managed to slow the decline at that level. However, price failed to reclaim lost structure, and momentum remained subdued.
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Whale Selling Reshapes XRP Market Risk
Beyond price levels, the broader concern involves changing liquidity dynamics. According to Ali Martinez, sustained distribution from this holder range often increases volatility when demand weakens. Without whales absorbing supply, price movements can accelerate during periods of uncertainty.
The pace of selling suggests calculated risk management rather than panic. There were no sharp liquidation spikes, indicating deliberate repositioning amid shifting market conditions. Hence, the trend reflects caution rather than disorder.
Meanwhile, reduced whale participation shifts greater responsibility onto smaller buyers. Fresh inflows must now replace withdrawn capital to stabilize price action. Until that occurs, XRP remains sensitive to sentiment swings and volume fluctuations.
On-chain indicators remain under close watch. According to Santiment data, stabilization or renewed accumulation within the 1 million to 100 million XRP range would ease near-term risk. So far, balances have not shown clear signs of recovery.
As this pattern continues, XRP trades without a key source of structural support. The absence of whale accumulation leaves price action increasingly dependent on new demand rather than long-term holders.
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