XRP Buy Signal Emerges as Whales Dump 60M XRP, Activity Drops 57%

Amid the week-long price dip, XRP has flashed a new buy signal on a key technical indicator. 

However, declining whale activity and continued selling by large holders suggest traders may need to remain cautious.

In a post on X, analyst Ali Martinez noted that the TD Sequential indicator has printed a buy signal on XRP’s 3-day chart. The signal appeared after XRP fell about 18%, dropping from around $1.33 earlier this month to roughly $1.09.

According to Martinez, TD Sequential buy signals on higher timeframes have historically been followed by short-term rebounds lasting one to four candles. This suggests XRP could see a brief relief rally after recent weakness and price compression.

Whale Activity Drops More Than 57%

While the technical setup looks constructive in the short term, on-chain data tells a less bullish story. Martinez said whale activity on the XRP network has fallen sharply over the past nine days. The number of transactions worth more than $1 million declined from 157 to 67, a drop of 57.3%.

The analyst believes this slowdown shows that major market participants have stepped back from the market. Reduced whale activity often leads to lower volatility and can signal consolidation rather than the start of a strong uptrend.

As a result, Martinez expects XRP to remain in a compression phase, with large investors waiting for clearer price direction before becoming more active.

Whales Offload 60 Million XRP

Additional on-chain data suggests whales are reducing exposure rather than accumulating. Data from Santiment shows that whale wallets sold or redistributed roughly 60 million XRP over the past week. 

Martinez noted that active large holders have been distributing tokens instead of absorbing supply and supporting a breakout.

This ongoing selling pressure suggests institutional investors are not yet positioning for a sustained rally, despite the appearance of the TD Sequential buy signal.

Analyst Identifies $0.90 as Potential Buy Zone

Looking beyond the current setup, Martinez believes a more attractive accumulation opportunity could emerge if XRP revisits the $0.90 level.

He described $0.90 as a major support zone supported by a multi-year rising trendline that has remained intact for nearly eight years. If XRP falls back to that area, Martinez sees it as a potentially compelling long-term entry point.

At the moment, he expects the TD Sequential signal to produce only limited upside unless whale accumulation returns. With large transaction volume declining and whales continuing to distribute tokens, XRP’s price may remain stuck in a consolidation phase before its next major move.