Data shows an XRP whale has taken out $38 million from the crypto exchange Binance. Can this be a bullish signal for the crypto’s price?

XRP Whale Has Withdrawn Almost $38 Million From Binance

As per data from the crypto transaction tracker service Whale Alert, a big XRP transaction has been spotted on the Ripple blockchain through the past day. This transfer involved the movement of 94,311,360 tokens, price almost $38 million on the time of the transaction.

Because the amount involved here is so massive, the sender of this transfer is more likely to be a whale or perhaps an entity made up of multiple sizeable investors. Attributable to the sheer scale, such transactions can sometimes cause noticeable effects available on the market.

How the value would reply to a movement from any whale is dependent upon the precise intent behind the transfer. But why did the whale make this transaction, on this case? The reply to that query could be inside the total details regarding this movement. Listed here are they:

Details of the huge transfer that took place on the Ripple blockchain today | Source: Whale Alert

As shown above, the sender, within the case of this XRP transfer, was a wallet attached to the crypto exchange Binance, while the receiver was an unknown address. Such unknown addresses are unaffiliated with any known centralized platform and thus likely belong to non-public wallets. Transfers like these, where investors withdraw their coins from exchanges to non-public wallets, are generally known as “exchange outflows.”

Generally, holders keep their coins on exchanges to be able to sell quickly at their desired price points. Nevertheless, they take them out to offsite wallets after they plan to carry onto the coins for an prolonged period. For this reason, a considerable amount of exchange outflows can bullishly affect the value of the crypto.

Within the case of the present transaction, it might appear that the whale transferred out these tokens for potential accumulation-related purposes. And if it’s indeed the scenario, then this massive outflow may be constructive for the worth of XRP.

The crypto has already been rallying prior to now week or so (although not as sharply because the likes of Bitcoin or Ethereum), which implies that the whale has made this accumulation move while prices are already relatively high.

Normally, investors need to take profits from opportunities like now. Still, this humongous holder selecting to not do it currently could possibly be an indication of further conviction from them in regards to the prospects of the crypto.

XRP Price

On the time of writing, XRP is trading around $0.386, up 9% within the last week.

The worth of the crypto seems to have been overall consolidating sideways within the last couple of days or so | Source: XRPUSD on TradingView

Featured image from Abigail Lynn on Unsplash.com, chart from TradingView.com