- The recent Wall Street bets phenomenon gripped the crypto market, and an army of retail investors first targeted Dogecoin before targeting XRP
- XRP saw slow momentum at first, but rumors of a “pump and dump” telegram chat trying to skyrocket its price were quickly circulating
- This resulted in many traders jumping into positions in hopes of a quick swing trade that kept the movement going
- Its price shot from the upper region of $ 0.20 overnight to highs of $ 0.75 before falling
- A trader now notes that this rally made a perfect exit pump for whales looking to get out in the face of the latest SEC lawsuit
XRP was one of the worst performing altcoins in 2021, and news of the SEC’s lawsuit against Ripple catalyzed a massive sell-off that dropped the token from nearly $ 1.00 to lows of $ 0.17.
Price action since then has been pretty weak, but it has gained massive momentum in the past few days, removing any losses related to the SEC.
Calling this a definitive exit pump for whales, one trader notes that profits from XRP are likely to move into other cryptocurrencies in the near future.
XRP explodes higher before collapse
At the time of writing, XRP is trading 11% from its current price of $ 0.44.
The cryptocurrency soared to highs of $ 0.75 today before losing momentum as it saw a massive decline that pushed it down nearly 50% for a brief period.
Price has rebounded slightly since then, but the bears are still in control as they struggle to gain momentum.
It remains unclear whether the army of retail buyers and members of the Pump and Dump Telegram group will be able to trigger another winning round, or whether it will continue to decline from here.
Analyst: Retail investors are giving whales a definitive exit pump
One analyst believes this could be a definitive exit pump that ends when large whales take the chance to get out of XRP.
This appears to be the case as the intense selling suggests that large owners have likely left their positions at $ 0.75.
“So many whales bagging XRP, one exhaust pump wasn’t enough, they needed two. Even so, a lot of money goes into big caps once it’s over. “
Image courtesy of Galaxy. Source: XRPUSD on TradingView.
The coming days should shed some light on how strong the retail investor army is in the market.
Featured image from Unsplash. TradingView charts.
