XRP Posts Wild “Pump and Dump” as Retail Buyers Give Whales an Exit
- The Wall Street Bets phenomenon recent took a grasp of the crypto market, with an army of retail investors first targeting Dogecoin before setting their sights on XRP
- XRP saw some slow momentum at first, but rumors regarding a “pump and dump” Telegram chat looking to rocket its price quickly circulated
- This led many traders to jump into positions hoping for a quick swing trade, which further perpetuated the movement
- Its price rocketed from the upper-$0.20 region to highs of $0.75 overnight before it plummeted
- One trader is now noting that this rally provided a perfect exit pump for whales who were looking to exit in light of the recent SEC lawsuit
XRP has been one of the worst-performing altcoins in 2021, with news of the SEC’s lawsuit against Ripple catalyzing a massive selloff that sent the token plunging from nearly $1.00 to lows of $0.17.
Its price action in the time since has been quite lackluster, but it gained some massive momentum over the past couple of days that erased all of the SEC-related losses.
One trader is calling this a final exit pump for whales, noting that profits from XRP are likely to roll over into other cryptocurrencies in the near-term.
XRP Explodes Higher Before Collapsing
At the time of writing, XRP is trading down 11% at its current price of $0.44.
The cryptocurrency surged to highs of $0.75 earlier today before it lost its momentum as saw a massive decline that, for a brief period, sent it down nearly 50%.
Its price has recovered slightly in the time since, but bears are still in control as it struggles to gain any momentum.
It remains unclear as to whether or not the army of retail buyers and members of the pump and dump Telegram group will be able to spark another round of gains or if it will continue plunging from here.
Analyst: Retail Investors Give Whales a Final Exit Pump
One analyst believes that this could be a final exit pump that ends as large whales take it as their chance to get out of XRP.
It appears that this is the case, as the intense selling suggests that large holders likely exited their positions at $0.75.
“So many whales bag-holding XRP, one exit pump was not enough, they needed two. Nevertheless, a lot of money is about to flow into big-caps as soon as it’s over.”
Image Courtesy of Galaxy. Source: XRPUSD on TradingView.
The coming few days should shine some light on just how strong the army of retail investors entering the market is.
Featured image from Unsplash. Charts from TradingView.