From the historical timeline up to the present day, XRP, harboring one of the profound enigmas within the cryptocurrency realm, remains engulfed in a legal battle between Ripple and the SEC, while the imminent traditional monthly unlocking by Ripple is casting its shadow. This state of affairs has instilled a sense of unease in the market.
Unlocking of XRP:
On July 1, Ripple is slated to release approximately 1 billion XRP valued at around $470 million in scheduled transactions. This forthcoming event is anticipated to exert a downward pressure on XRP’s price. For the most recent financial and corporate updates, refer to COINTURK FINANCE.
Historical records reveal that since 2017, Ripple has unfurled 1 billion tokens at the start of each month through its secure escrow treasury system. Based on data sourced from XRPScan, the company has been utilizing the ‘Ripple (24)’ and ‘Ripple (25)’ addresses for transactions since the advent of May 2024. These wallets are custodians of a monthly reserve of 1 billion XRP tokens, which are programmed to remain locked until January 2025.
The unlocking on July 1 comprises two sets: one involving 100 million tokens and the other 400 million tokens from the Ripple (24) escrow, totaling 500 million XRP. Furthermore, a solitary escrow comprising 500 million tokens will be unsealed from Ripple (25) on the said date of July 1.
On June 1, a cumulative total of 1 billion XRP was unleashed from the ‘Ripple (24)’ and ‘Ripple (25)’ escrow addresses. Subsequent to this event, Ripple set aside 200 million tokens for corporate continuity and transactions, locking the residual amount in a fresh escrow scheduled for unveiling in September 2027. Concurrently, the organization earmarked 200 million XRP for sales, elevating the target for the most extensive monthly sales undertaking in its history to 400 million tokens.
XRP Price Prognosis:
In light of the influx of supply into the market following the unlocking events, Ripple’s sales strategies have induced notable selling pressure on XRP. A retrospective scrutiny has established a pattern where XRP prices have typically tapered post-Ripple token sales.
Among the fourteen transactions executed by Ripple in 2024, only five yielded positive price shifts. Noteworthy spikes were observed on February 5, February 11, April 14, May 13, and May 20, while the remaining nine instances displayed a decline in value.
A supplementary examination of XRP performance evidenced that during the initial half of 2024, four out of the six months portrayed an unfavorable monthly outlook. The unlocking of 1 billion XRP on June 1 also precipitated a dip in prices.
At the time of scripting this discourse, XRP is exchanging hands at $0.47 post a 1.85% descent. The market capitalization stands at $26.1 billion, with a 24-hour trade volume of $880 million.
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Disclaimer:
The information presented in this narrative does not constitute investment advice. Investors are advised to recognize the high volatility associated with cryptocurrencies, thereby understanding the inherent risks, and should undertake thorough due diligence prior to making any investment decisions.
