According to the report of Whale Alert, Ripple has unlocked another 100M worth $27.9 million from its escrow wallet.
Fear of sell-off among XRP holders
Ripple’s this move shocked the community and the reactions from the community members and Twitter users were negative. It has created the fear of sell-off among the XRP holders. Token holders have angered because this development by Ripple signals a strong bearish trend for the coin ahead.
This was the additional 100M tokens that Ripple has unlocked because Ripple has already set an amount of 1 billion that it releases at the beginning of every month. However, this huge unlock could harm the price value of the coin in the upcoming days.
🚨 🚨 100,000,000 #XRP (27,971,787 USD) transferred from Ripple Escrow wallet to Ripple
— Whale Alert (@whale_alert) February 6, 2020
XRP/USD needs to remain above SMA50 1H to stay bullish
Recently, XRP went back from its high of $0.2878 to $0.2830. However, the token is currently standing above SMA50 1-hour holding itself above the $0.28 mark.
XRP/USD needs to remain above SMA50 1-hour in order to stay bullish because XRP/USD is currently in the technically difficult situation. If XRP goes below SMA50 1-hour then it will start moving towards $0.27 level and below this level, SMA100 1-hour is present. Ripple could lose its bullish behavior if it reaches $0.26.
Therefore, Ripple (XRP) needs to trade above SMA50 1-hour by holding above the $0.28 mark. Users are expecting Ripple to cross the psychological level of $0.30 in order to start massive bullish action.
Ripple has been trading bullish for a while and now its recent move of 100M token release is threatening its price value and XRP could turn bearish in the near future. Token holders’ fear shows that a huge sell-off for XRP is coming.