XRP Whale Transactions Over $1 Million Plummet 97% in a Week, Signaling Reduced Institutional Activity

XRP’s price trajectory may face further downside pressure as large-scale transactions on the XRP Ledger have sharply declined, according to recent data from Santiment highlighted by crypto analyst Ali Martinez. Over the past seven days, the number of transactions exceeding $1 million plummeted from approximately 70 to just two, marking a 97% drop and reflecting a significant cooling in institutional and major investor participation.

This decline in high-value transactions occurred after a gradual decrease began on July 8, when daily whale activity remained above 52. However, the downward trend accelerated rapidly from July 9 onward, culminating in the dramatic drop by July 12. The waning activity coincides with a bearish phase in XRP’s market performance, which saw a 6% decline last week. This price weakness has nearly erased July’s intra-month gains, reducing them from a peak of 14% to 3.5%.

The correlation between diminished whale activity and falling prices suggests that large holders are adopting a cautious stance, awaiting clearer market signals before engaging in significant trades. While reduced transactions alone don’t guarantee a bearish outlook, they often underscore hesitancy among major stakeholders during uncertain market conditions.

Technical Outlook Points to Potential Support Zone at $0.90-$0.94

Analyst Cryptoinsightuk outlined a technical strategy anticipating further downside movement before a recovery. According to the analysis, XRP is currently trading around $1.08, below a descending trendline that has acted as resistance since its May 14 peak of $1.55. Immediate resistance near $1.11 aligns with this trendline, a level where XRP previously faced rejection on July 4.

The analyst identifies a potential long-entry opportunity in the $0.90-$0.94 range, a zone that could act as a durable support level if price declines 12.6% to 16% from current levels. A successful defense of this area may set the stage for a rebound, enabling XRP to reclaim the descending trendline and target higher resistance thresholds. However, the coin has maintained the $1 support level for over a month, with repeated rebounds from each retest, suggesting sustained buying interest despite ongoing bearish pressure. A broader cryptocurrency market recovery and continued accumulation near key support levels could potentially trigger a rebound even before reaching the $0.90-$0.94 target zone.

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