Ripple has reserved 200 million out of the 1 billion XRP unlocked in May for its monthly sell-off. This amount is worth nearly $104 million, with XRP price trading below $0.52.
Currently, the company has around 39.70 billion tokens locked in escrows from the initial distribution that never circulated. Ripple unlocks 1 billion of these XRP tokens every month and re-locks an arbitrary amount for further release.
Finbold has tracked these unlocks, identifying patterns that affect the asset’s long-term value and also XRP’s short-term price action.
Ripple (24) account, transaction history. Source: XRPScan
Meanwhile, the ‘Ripple (25)’ account sent 500 million to ‘Ripple (12)’, which is also scheduled to finish in September 2027.
Monthly Ripple (XRP) unlock – May, 2024. Source: Finbold
XRP price analysis amid Ripple sell-offs
Interestingly, Ripple’s previous sell-offs and escrow activities coincide with meaningful XRP price movements. Finbold placed each of the company’s observed sales year-to-date on XRP’s daily chart.
So far, Ripple made its sales on January 7, 16, and 30, February 5, 11, and 20, March 5 and 13, and April 14 and 24. Interestingly, only three out of ten days had a slightly positive price action. Yet, even these ‘green’ days were made of shy gains, while the negative ones were more impactful.
XRP/USD daily chart with Ripple sell-offs year-to-date. Source: TradingView (Finbold)
As of this writing, XRP trades at $0.519, bouncing back from support at $0.50. Therefore, investors should closely monitor Ripple’s selling activities in May, as they could slow down an expected price recovery.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
