4 million XRP suddenly unlocked ahead of XRP ETF launch
On November 10, 2023, 4,000,000 XRP (worth $10.1 million) were unlocked from escrow at Flare’s Core Vault, sparking speculation and a 5% price jump. Another mysterious transfer of 22 million XRP ($56 million) added intrigue. XRP momentum increased again by November 13 due to Canary Capital's launch of the XRP ETF (XRPC), predicted to attract $5 billion in a month. The U.S. government shutdown ended, further boosting sentiment. Technically, XRP shows signs of strength with an RSI nearing neutral and a bullish MACD crossover, but faces resistance at the 200-day EMA of $2.63.
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XRP Unlocking Sparks Speculation
4,000,000 XRP, worth around $10.1 million, were unlocked from escrow at an unknown wallet on Monday, November 10. This raised eyebrows in the crypto community as Ripple’s usual monthly escrow release had already occurred earlier in the month. The unexpected move caused XRP to jump nearly 5% on the same day.
Flare Network's Role in XRP Activity
It was later revealed that the tokens were locked and subsequently unlocked at Flare’s Core Vault, which is a critical component of the Flare Network. The Core Vault acts as a liquidity hub for Flare’s FAssets system and holds assets like XRP to facilitate FXRP mining.
Additional XRP Movements Add Intrigue
In a related development, 22 million XRP, valued at approximately $56 million, were transferred from Bitget to an unknown wallet. This additional movement added another layer of speculation to an already mysterious scenario.
Recent XRP Price Action
After a brief decline over subsequent days, XRP surged again as of Thursday, November 13, posting gains of nearly 4% daily and 8% weekly. This resurgence was attributed primarily to the anticipated launch of Canary Capital’s XRP ETF (XRPC), which began trading on November 13. According to CEO Steve McClurg, the fund is projected to attract over $5 billion in inflows within its first month.
Political and Technical Factors Influencing XRP
Bolstering the positive sentiment, U.S. President Donald Trump signed a bill ending the 43-day government shutdown, creating a favorable environment for the XRP ETF launch. From a technical standpoint, signs of strength include the Relative Strength Index (RSI) at 46.99, which is nearing neutral territory, and the Moving Average Convergence Divergence (MACD) histogram at +0.013, indicating an early bullish crossover.
XRP Facing Key Resistance Levels
Despite the positive developments, XRP faces technical resistance. The cryptocurrency encounters a ceiling at the 200-day exponential moving average (EMA) at $2.63. Additionally, a sustained close above $2.52 could pave the way for a rally toward $2.70, aligning with the 127.2% Fibonacci extension.