XRP Faces Setbacks Amid Increased Whale Activity and SEC Appeal

XRP, the cryptocurrency associated with Ripple, has seen a notable increase in whale transactions, as highlighted by Santiment.

The token is also gaining traction on social media and has experienced a surge in transaction volume, reaching $2.39 billion—the highest in eight months.

📺 Bitwise’s XRP ETP filing (not to be confused with an ETF, which would be required if it was a security) has showed a significant on-chain response. Whale activity, social hype, and an 8-month high $2.39B in transaction volume indicates potential bullish momentum—but remember,… pic.twitter.com/yMdbE9G3GS

— Santiment (@santimentfeed) October 3, 2024

This uptick follows Bitwise’s recent application to introduce an XRP-based exchange-traded fund (ETF) in the United States.

While experts doubt the quick approval of such a product, the filing is seen as a boost to XRP’s legitimacy. Despite this, the excitement didn’t translate into price gains, with XRP declining on the day of the announcement.

Adding to the token’s woes, XRP suffered a setback when the SEC announced an appeal in the ongoing Ripple case, resulting in significant losses.

Currently, XRP trades at $0.51, reflecting a 15% drop in the last 24 hours and a market cap of $28.9 billion. Following the SEC news, options traders have turned increasingly bearish, and Ripple’s continued legal battles with the SEC are likely to weigh heavily on XRP’s performance.