Whale activity hits record high as XRP’s price skyrockets to new peaks
XRP has experienced a remarkable 100% price increase over the past week, with its 30-day gains reaching an astonishing 430%. Prices have now returned to levels not seen since 2018, leaving crypto traders astonished. The rally began in early November, driven by renewed investor confidence following the Republican victory in the U.S. elections, which boosted tokens linked to U.S.-based companies like Ripple Labs, XRP’s parent company.
Key to XRP’s recent price movement is the heightened activity of crypto whales — large holders capable of influencing markets through significant buying or selling. According to CryptoQuant data, whale activity, marked by the movement of large wallet funds to and from exchanges, has surged to record levels over the past month, far exceeding historical norms.
This whale activity offers insights into market sentiment. When large inflows are directed toward exchanges, it often signals a potential sell-off, hinting at bearish trends. Conversely, significant outflows suggest accumulation, indicating bullish sentiment. However, spikes in whale-to-exchange transactions typically coincide with price peaks, as noted by CryptoQuant analyst Woominkyu. He highlighted that these transactions historically align with whales selling near local or cycle tops.
The latest whale activity saw significant XRP transfers to exchanges as the token approached $2.3. This could signal profit-taking or heightened market action. Despite this, XRP continues to outperform major cryptocurrencies, with a 14% price jump in the last 24 hours, surpassing Bitcoin and other top tokens.
By flipping Solana’s SOL and Tether’s USDT in market capitalization, XRP has emerged as the third-largest cryptocurrency as of Tuesday, underscoring its growing market dominance amid this historic surge.
Source: Coindesk
Chainlink’s LINK soars 29%, gaining momentum as the community brands it the ultimate ‘bank coin’
Chainlink’s native token, LINK, surged by 29%, reaching $25.32 on December 3, marking a significant increase from its value of $16.54 on November 26. This surge has drawn attention to LINK as it is being positioned by its community as the true “bank coin” in contrast to XRP, which has been labeled by some as a “banker-themed memecoin.”
Several factors may have contributed to this rally, including the recent surge in XRP’s price and ongoing developments within the Chainlink ecosystem, specifically its blockchain oracle network. On December 1, XRP briefly surged to $2.46 before retreating, which spurred discussions within the crypto community about the growing interest in cryptocurrencies, especially regarding Ripple’s stablecoin project and the anticipated positive political climate for crypto in the United States.
Proponents of Chainlink believe the recent attention on XRP can help draw focus to LINK’s strategic partnerships with traditional finance and capital markets. Aylo, a researcher from Kamino Finance, suggested that Chainlink’s work with traditional finance institutions positions it as a more integral player compared to XRP. They highlighted Chainlink’s strong collaborations, which go beyond speculation, with major financial institutions. These collaborations are seen as a real-world connection between banks and blockchain technology, which Chainlink is working to establish globally.
Zach Rynes, a prominent Chainlink advocate known as ChainLinkGod, further supported this narrative, emphasizing that Chainlink is working with the largest financial institutions worldwide to bridge the gap between traditional banking and blockchain systems. He dismissed the notion that Chainlink is just an oracle, instead arguing that it is actively reshaping the financial industry by providing critical infrastructure for blockchain-based solutions.
In a direct comparison with XRP, Rynes criticized XRP as a “banker-themed memecoin,” asserting that it failed to gain significant traction in the cross-border payment use case. He argued that with the rise of stablecoins and central bank digital currencies (CBDCs), the need for a bridge currency, like XRP, is diminished. This, according to Rynes, is why Ripple has shifted its focus to stablecoin, custody, and CBDC solutions. This contrast between the two projects has contributed to LINK’s growing reputation as the true “bank coin.”
Source: Cointelegraph
Unlocking Ethereum’s potential: the case for ETH staking yields
Analysts at Bernstein are optimistic about Ethereum (ETH) staking yields, especially with the prospect of approval for spot Ethereum exchange-traded funds (ETFs) under a potentially crypto-friendly Trump administration. This, alongside other factors, is fueling renewed interest in Ethereum, the second-largest cryptocurrency by market capitalization.
ETH has recently risen by 46%, outpacing Bitcoin and Solana during a cryptocurrency market surge. Despite this, Ethereum has underperformed year-to-date compared to Bitcoin’s 125% and Solana’s 122% gains. Analysts point to Ethereum’s challenges as a store of value and its reliance on layer-2 solutions for scaling, which might push users to faster alternatives like Solana and Aptos. However, Ethereum remains a favorite for institutional use cases, including asset tokenization and stablecoins.
- ETH Staking Yields: Analysts predict the approval of ETH staking yields under a new regulatory environment, with current yields of 3% potentially rising to 4–5% as blockchain activity increases. This presents attractive returns in a low-interest-rate landscape.
- Ethereum ETF Inflows: Spot Ethereum ETFs have attracted $1.1 billion in net inflows since their launch, with Friday alone seeing $332.9 million, surpassing Bitcoin ETF inflows. This demand improves Ethereum’s supply dynamics.
- Supply Stability: Ethereum’s shift to proof-of-stake and its burn mechanism have stabilized its supply, with 28% of ETH locked in staking contracts and 10% in lending or layer-2 bridges. A substantial 60% of ETH has remained untouched over the past year, showcasing strong investor confidence.
- Resilient Network Activity: Ethereum accounts for 63% of the total value locked across all blockchains. Daily transactions on its layer-2 solutions have exceeded 15 million, leveraging Ethereum’s security and positioning it as a top choice for institutional use.
With robust network growth, sustainable staking returns, and increasing demand, ETH staking emerges as a compelling opportunity for long-term investors.
Source: Ecoinimist