XRP News Today: Chris Larsen Shifts 50M XRP to Exchanges, Analysts Warn 2.58B Holdings Pose Sell Pressure Risk

Ripple co-founder Chris Larsen’s recent movement of 50 million XRP to exchanges has sparked concerns about potential sell pressure, with analysts warning that his remaining holdings of 2.58 billion XRP—valued at approximately $8.83 billion—could amplify market volatility. The transaction, which occurred days after XRP surged to near all-time highs above $3.60 on July 17, has drawn attention from investors and traders, who are now monitoring whether the move signals a broader strategy to reduce Larsen’s stake in the asset.

J.A. Maartunn, an analyst at on-chain data firm CryptoQuant, highlighted the risk, noting that the 50 million token outflow represents only a fraction of Larsen’s total holdings. “If $200 million was just the warm-up… what’s next?” Maartunn tweeted, urging XRP holders to “protect yourself” and avoid becoming “exit liquidity” [1]. The analyst emphasized that Larsen’s remaining balance could act as a tail risk for the market, particularly if he accelerates sales.

The move has coincided with broader market turbulence. XRP’s price corrected 13% to $3.18 following the news, exacerbating concerns as Bitcoin also plummeted to $114,500 after a dormant Satoshi-era wallet moved 80,000 BTC. This triggered over $500 million in crypto liquidations within 24 hours, according to CoinGlass. While XRP’s funding rates for perpetual futures contracts remain positive—a sign of bullish sentiment—analysts caution that large-scale insider activity could disrupt short-term price momentum.

Notional open interest for XRP perpetual futures has reached a record $8.8 billion, reflecting heightened leverage and speculative activity. This figure, a 500 million increase from its previous peak in late January, suggests growing institutional and retail participation. However, the concentration of large wallets—those holding at least 1 million XRP—now controls over 47.32 billion tokens, underscoring the asset’s susceptibility to whale-driven price swings.

Ripple’s legal landscape is also evolving. CEO Brad Garlinghouse recently announced the company’s plan to withdraw its cross-appeal against the U.S. Securities and Exchange Commission (SEC), with regulators expected to drop their own appeal. This development could reduce regulatory overhang but may not mitigate immediate market concerns tied to insider selling.

For now, traders are bracing for further volatility. The interplay between Larsen’s token management and broader market dynamics—such as Bitcoin’s movements and macroeconomic factors—will likely shape XRP’s near-term trajectory. Investors are advised to remain cautious, given the analyst’s warnings and the asset’s history of price swings tied to corporate actions.

Source: [1] [title: Ripple’s Chris Larsen Still Holds 2.58B XRP, Analyst Warns of Potential Sell Pressure] [url: https://cryptonews.com/news/ripples-chris-larsen-still-holds-2-58b-xrp-analyst-warns-of-potential-sell-pressure/]