In the cryptocurrency industry, large transactions hardly go unnoticed. This is especially so when the transactions are being carried out on public blockchains. Yesterday, a significant amount of XRP was sent to a single receiver address for just 0.000012. The funds were sent in three transactions within a few minutes. So many people in the cryptocurrency community have been wondering what the reason of such a mega transaction could be.
$910 Million Worth Of XRP Moved In Three Transactions
On Monday, the first transaction of 850 million XRP tokens, which is equivalent to $300 million, was sent to rKveEyR1SrkWbJX214xcfH43ZsoGMb3PEv. Later the same day, that address received 750 million XRP tokens. A few minutes later, another transaction worth 1 billion XRP tokens was made to the same address. The total sum of all the transactions amounted to 2.6 billion XRP which is equivalent to about $910 million even with the current market conditions.
XRP (XRP) Price Today – XRP / USD
As expected, the cryptocurrency community has been discussing possible reasons for such a transaction as they try to figure out what parties are involved. Some people suggested that the amount may have been moved to a cold storage for more security. However, Ripple has not said anything about the transaction or made any comment to make people believe that it may have been responsible for the transactions.
Currently, there are two major opposing opinions about the transaction. One side claims that a big institution decided to buy Ripple and the purchase was made in XRP tokens. Another group says it’s possible that Ripple is trying to get funds by unloading some of their assets. The community members claim that even if Ripple is yet to make any official statement regarding the transaction, some people have cited the words of David Schwartz.
David Schwartz is a Chief Cryptographer at Ripple who said that the price of XRP will have to increase if the Ripple ledger is to process large transactions. The higher the price, the more large payments can be performed according to Schwartz. Hopefully, before the end of today, there might be a reasonable explanation for the transactions.
Main while, keep in mind that Ripple and XRP have been doing relatively well for the past few months. Even if the entire market is currently in a downtrend, Ripple has been strengthening its position and the position of the XRP token. It’s no wonder XRP was able to take over from ETH and maintain its position as the second largest cryptocurrency per market capitalization.
XRP (XRP) Price Analysis
At the time of writing, XRP was trading at $0.358572. This shows that it is down by 7.54% against the USD and down by $0.40% against Bitcoin. The trading volume over a 24 hour period is $564,750,907 and the market capitalization is $14,460,272,143. It’s important to note that other cryptocurrencies are also trading in red. The market seems to be correcting after the minor bullish rally that took the price of BTC all the way to $4350 two days ago adding over $20 million to the total market capitalization of the industry.