Dormant XRP Awakens: A Tsunami of Coins Hits the Market – Price Impact Revealed

A flood of long-dormant XRP tokens just hit exchanges—and the market's bracing for impact. Here's why this isn't your average sell-off.

The sleeping giant stirs

When 'zombie coins' suddenly move, traders pay attention. These aren't weak hands cashing out—they're ancient wallets awakening after years of hibernation. The last time this happened? Let's just say the charts still bear the scars.

Liquidity wave or tsunami?

Market makers are scrambling to absorb the inflow without cratering the price. Meanwhile, the usual crypto pundits are screaming 'buy the dip' while quietly updating their sell orders. Classic Wall Street playbook—just with more laser eyes and moon emojis.

The cynical take

Nothing boosts trading volume like a good old-fashioned whale dump. Exchanges get their fees, influencers get content, and retail gets... well, whatever's left after the algorithms finish feeding.

Dormant XRP Tokens Wake Up — Is a Sell-Off Incoming?

According to on-chain data provider Santiment, XRP’s Dormant Circulation (90 days) metric surged to 387.19 million on Monday, the highest level in three weeks.

This metric tracks the total volume of tokens that had previously remained inactive for at least 90 days but suddenly moved within a 24-hour period. Such a sharp increase signals that LTHs are moving their tokens.

Historically, spikes in dormant circulation have indicated seasoned holders exiting positions, either to take profit or avoid potential losses. This trend therefore puts XRP at risk of noting declines.

Further, after a steady decline that began on June 5, XRP’s Liveliness suddenly reversed course yesterday, climbing to 0.809.

Liveliness measures the movement of long-held tokens by calculating the ratio of coin days destroyed to the total coin days accumulated. When it declines, it indicates that LTHs are moving their assets off exchanges and opting to hold.

Converesly, when it climbs, it suggests that more dormant tokens are being moved or sold, signaling profit-taking by XRP LTHs.

XRP Faces Bearish Pressure as Sellers Take Control

On the daily chart, XRP’s negative Balance of Power (BoP) supports this bearish outlook. At press time, this momentum indicator is at -0.62.  

The BoP indicator measures the strength between buyers and sellers by comparing price movements within a given period. When it turns negative, sellers are dominating the market, hinting at a potential downtrend.

If this happens, XRP’s price could drop to $2.08.On the other hand, if demand soars, its price could reach $2.29.