XRP Price Predictions After Escrow Release of 400 Million Tokens

Ripple’s renowned XRP is navigating a challenging landscape marked by an ongoing legal battle with the U.S. Securities and Exchange Commission since 2020. Amidst this tense legal battle, 400 million XRP tokens worth approximately $217.5 million have been recently unblocked. 

Escrow Unlocking and Ripple’s Practices

On February 25, Whale Alert reported the unlocking of 400 million XRP from Ripple’s escrow, deviating from the usual schedule. Ripple’s escrow mechanism involves monthly releases of one billion XRP, with a portion being sold. 

Currently, Ripple holds around 40 billion XRP tokens in escrow, set for release over the next 42 months. This monthly release contributes to the circulating supply, potentially exerting downward pressure on the price, especially when combined with Ripple’s practice of selling a portion of these tokens.

The unexpected timing of the recent unlocking of XRP from Ripple’s escrow has raised eyebrows within the community. What adds more mystery to this unexpected unlocking is the accompanying memo which includes peculiar shout-outs. 

XRP Price Predictions and Analysis

Crypto analyst Alan Santana revisited his previous assumption that XRP might not experience a severe correction due to its past six months of correction. However, recent developments have proven this expectation inaccurate. 

Santana identified a crucial uptrend line on the XRP chart, established based on candle closes since 2020. Alan warns that a break below this trendline could signal a bearish trend with severe consequences. Rejections at key Exponential Moving Averages (EMAs) every week can further contribute to a bearish perspective. Santana suggests a potential 35% drop in XRP’s price.

As of the time of writing, XRP is priced at $0.54438900, reflecting a change of -0.07% over the past 24 hours. The market capitalization stands at $29.72 billion, with a year-to-date change of -11.48%. 

Technical indicators show bullish sentiments prevailing for XRP, as one-day gauges align with a ‘buy’ sentiment at 10. Moving averages support this sentiment at 8, while oscillators indicate a ‘neutral’ stance at 8.

Upcoming Deadlines in Ripple Lawsuit

With the lawsuit progressing beyond the discovery stage, critical upcoming deadlines include March 13 for the SEC to file remedies-related briefs, April 12 for submitting motions opposing remedies proposals, and April 29 as the final deadline for remedies submissions.

XRP finds itself at the centre stage, surrounded by pending lawsuits, untimed escrow unlocking, and mixed community speculations.