Ripple has reserved 200 million out of the 1 billion XRP unlocked in April for its monthly sell-off. This amount is worth nearly $120 million, with XRP price trading below the $0.60 resistance.
Notably, the company has around 39.90 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 (1) account summary. Source: XRP Scan
Ripple escrow activity in April
Similarly to what happened in previous months, escrows have reached finality within the ‘Ripple (22)’ and ‘Ripple (23)’ accounts. Notably, these escrows were previously not disclosed in XRPScan, which shows no more unlocks for both accounts.
As developed, ‘Ripple (22)’ first sent the 200 million XRP for April’s sell-off to ‘Ripple (1)’. Later, the account sent 300 million tokens to ‘Ripple (12)’ and re-locked the amount for an escrow to August 2027.
Meanwhile, the ‘Ripple (23)’ account sent 100 million and 400 million to ‘Ripple (12)’ and ‘Ripple (13)’, respectively. Both are also in escrows that will unlock by August 2027.
Monthly Ripple (XRP) unlock – April, 2024. Source: Finbold
XRP price analysis amid Ripple sell-offs
It is notable how Ripple’s previous sell-offs coincide with significant XRP price movements. Finbold placed each of the company’s selling activities 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, and March 5 and 13. Interestingly, only two out of eight 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 writing, XRP trades at $0.585, having lost range support at $0.60. Therefore, investors should closely monitor Ripple’s selling activities in April as they could cause further drops in price moving forward.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
