XRP witnessed extreme volatility on Monday, with prices rising to $1.91 and falling back to $1.86 within a few hours. On-chain data shows rising inflows in Binance and South Korean crypto exchanges have kept the altcoin under selling pressure.
XRP On-Chain Data Sparks Selloff Concerns
According to CryptoQuant on-chain data, inflows into crypto exchanges increased significantly from mid-December amid a massive correction in XRP. The inflows reached the levels last recorded during the October crypto market crash.
XRP Exchange Inflow on Binance. Source: CryptoQuantThe Exchange Inflow metric shows massive inflows in Binance. XRP daily deposits ranged from 55 million to 116 million. It signals renewed selling pressure similar to earlier this year, coinciding with sustained whale distributions and ongoing uncertainty in the crypto market.
Other crypto exchanges, especially South Korea-based Upbit and Bithumb, recorded massive inflows. XRP faced renewed distribution pressure similar to earlier this year. The ATH price top coincided with sustained whale distributions and a subsequent correction.
Exchange Inflow on Upbit. Source: CryptoQuantWhile XRP exchange reserves are falling, the exchange inflow data suggests a shift in investor behavior. Moreover, spot XRP ETF inflows have failed to lift prices. Notably, the total net inflow has reached $1.14 billion, and the total AUM has hit $1.25 billion.
Price Risks Fall to $1
Ripple-linked coin saw volatile price action today as it pared earlier gains to drop back to $1.87. The intraday high and low are $1.85 and $1.91, respectively. Trading volume has increased by 70% over the past 24 hours, indicating interest among traders.
Veteran trader Peter Brandt predicted an XRP crash to $1 due to a bearish double-top pattern on the weekly chart. Crypto analysts, including Ali Martinez, have also shared a $1 price target if bulls fail to defend the $1.80 level amid continued whale selloffs.
CoinGlass data showed massive selling in derivatives markets. At the time of writing, the total XRP futures open interest tumbled almost 3% to $3.44 billion in the last 4 hours. Futures OI on CME and Binance plunged more than 1.21% and 2.15%, respectively, signaling bearish sentiment among derivatives traders.
Source: https://coingape.com/xrp-sell-pressure-intensifies-amid-rising-inflows-to-binance-south-korean-exchanges/
