Blockchain firm Ripple has moved a substantial amount of XRP, a transaction that is likely to influence the short-term movement of the asset.
Specifically, Ripple transferred 200 million XRP, worth roughly $610 million, from its treasury to an unknown wallet, according to on-chain data shared by Whale Alert on October 6.
The massive on-chain transfer does not have a clear reason behind it. Notably, the company often moves large amounts of XRP to reposition liquidity or fund ecosystem and institutional partnerships.
Some believe the move prepares for upcoming liquidity needs, while others suspect possible OTC transactions.
What next for XRP price
If the tokens enter the market through sales or institutional deals, selling pressure could briefly slow the rally.
This significant transfer comes at a time when XRP is approaching the crucial $3 level, with analysts suggesting possible scenarios in the short term.
To this end, analysis by Ali Martinez in an X post on October 7 pointed out that XRP is approaching a critical resistance level near $3.15. Notably, this zone has capped previous rallies and now stands as the next major hurdle for bulls.
Therefore, a decisive breakout above this level could open the door for a strong upward move toward $3.60. Martinez noted that several intermediate targets around $3.30 and $3.45 suggest potential consolidation points before XRP reaches the higher range.
XRP price analysis
As of press time, XRP was trading at $2.97, having plunged 0.27% in the past 24 hours, while over the past week, the asset has gained more than 3%.
Overall, XRP is showing relative stability around its short-term averages. The 50-day Simple Moving Average (SMA) stands at $2.94, suggesting moderate short-term bullish momentum as buyers maintain control above this key level.
Meanwhile, the 200-day SMA sits at $2.61, indicating that the longer-term uptrend remains intact and providing a strong support base if prices retrace.
On the other hand, the 14-day Relative Strength Index (RSI) of 51.76 reflects a balanced market, neither overbought nor oversold, implying that XRP still has room for upward movement if buying pressure strengthens.
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