Chris Larsen, one of the co-founders of Ripple, has once again transferred 50 million XRP to exchanges, a recurring practice that is reigniting investor concerns amid a 10% drop in the token’s price. What if this is just the beginning?
Is Ripple’s co-founder selling his XRP?
This week, XRP holders were unpleasantly surprised to discover that Chris Larsen, one of the co-founders of Ripple, had transferred 50 million tokens to crypto exchanges, presumably to sell them.
The transactions began on July 17, when the XRP token was trading around its new all-time high of around $3.60.
However, this is not a first for the Ripple co-founder, who has transferred large amounts of XRP in the past:
Following this, the price of XRP fell by around 20%. It should be noted that the decline cannot be attributed to this movement alone, as it is highly likely that many investors decided to take profits following the ATH of Ripple’s cryptocurrency. What’s more, the entire cryptocurrency market was on a downward trend at the time.
In any case, the decline in XRP was enough to trigger the largest wave of liquidations on open long positions on Binance since the beginning of the year:
As for the co-founder of Ripple, should we talk about normal profit-taking or “dumping on the community”? Everyone has their own interpretation. In any case, his portfolio remains well-stocked.
Almost $9 billion worth of XRP still up for sale
In crypto, news is quickly replaced by more news. A co-founder sells part of his bag, it becomes a topic of discussion for a few days, then another topic takes over.
However, with the price of XRP remaining well above what it has been in the past — it traded at less than a dollar for several years — further sales cannot be ruled out.
Admittedly, the legal case regarding the classification of XRP is over, but the project currently has nothing concrete to offer to drive its price higher.
So why not take advantage of this golden opportunity to make maximum profit? Chris Larsen still has more than 2.8 billion XRP tokens to sell, representing 4.4% of the supply.
On X, many observers are not reassured: “Don’t be the exit liquidity,” they say. “If $200 million was just a warm-up… then what’s next?”
The price of XRP is currently $3.18, down 10% over the week. It now ranks third among the most capitalized cryptocurrencies on the market.
