XRP News Today: Crypto Whale Loads 40x Leverage on Bitcoin Amid XRP and SOL Shorting Spree

A prominent crypto whale known as "Smart Money" has rapidly expanded its long position in Bitcoin using over 40x leverage in less than 30 minutes, generating cumulative profits close to $54 million. This aggressive move was accompanied by 20x leveraged short positions on Solana (SOL) and XRP, underscoring the whale’s strategic reallocation of capital toward Bitcoin amid market uncertainty [1].

The trades, tracked on the Hyperliquid exchange, have sparked attention for their speed, scale, and the level of leverage used. Despite the magnitude of these actions, the broader market has not yet shown a significant reaction, with liquidity metrics remaining largely unchanged. However, analysts are closely monitoring the situation for potential volatility spikes and cascading effects, especially given the sensitivity of smaller-cap assets to high-leverage trades [1].

The whale’s focus on Bitcoin contrasts with the sell-off observed in XRP and SOL. Over the past month, whale accounts have offloaded more than 640 million XRP tokens—worth approximately $1.91 billion—raising concerns about structural weaknesses in the asset. Much of this selling occurred during price rallies between $2.28 and $3.54, a pattern that has historically signaled downturns [1]. These outflows have coincided with ongoing legal uncertainty surrounding XRP, as the U.S. Securities and Exchange Commission (SEC) is expected to issue a final ruling on Ripple’s appeal by mid-August.

Solana has also faced pressure from whale activity, as larger holders shift capital away from the altcoin. This contrasts with Bitcoin, where whale accumulation has been more consistent, highlighting a broader trend of capital moving toward more stable, dominant assets during periods of market instability [1].

The current XRP price of around $3.07 is 15.7% below its recent all-time high. Technical indicators suggest the token is struggling to hold key support levels, with a break below $2.65 potentially leading to further declines. While derivatives traders remain optimistic—showing a nearly 2-to-1 ratio of long to short positions—continued selling by major holders could persist as a headwind in the short term [1].

Institutional interest in XRP is showing tentative signs of recovery, with reports of corporations exploring up to $1 billion in XRP allocations for treasury diversification. Japan’s SBI Holdings has also submitted a filing for a Bitcoin-XRP ETF, which may provide a boost to demand if market conditions stabilize.

Vitalik Buterin, co-founder of Ethereum, has warned that excessive leverage can destabilize crypto markets. The recent actions of “Smart Money” illustrate the risks and rewards of high-leverage strategies, reinforcing the importance of monitoring whale movements for early signs of volatility [1].

The market remains in a state of anticipation, with the SEC’s ruling and whale activity as key variables that could determine the near-term trajectory for XRP and other altcoins.

Source: [1] XRP on the edge: whale dump sparks free-fall fears as SEC ruling looms—(https://coinjournal.net/news/xrp-on-the-edge-whale-dump-sparks-free-fall-fears-as-sec-ruling-looms/)