XRP is testing the $1 support level as a Ripple-linked wallet moved 50 million tokens toward Binance, while increased network activity and crowded long positions heighten the risk of a sharp price move.

A wallet connected to Ripple transferred 50 million XRP, worth more than $50 million at the time, to an internal subwallet on Aug. 13. The transaction came as XRP closed near $1, its lowest daily closing price since November 2024. Meanwhile, total derivatives open interest approached $986.48 million.

Transaction records show that the Ripple (50) wallet initially moved the tokens to raRVLN1, an internal subwallet. The transfer drew attention because XRP was testing a critical support zone while derivatives traders remained heavily positioned on the long side.

Ripple-Linked Wallets Send XRP Toward Binance

The raRVLN1 wallet subsequently distributed the XRP, mostly in batches of 1 million tokens, to the rBNCyN address, which XRPScan associates with Binance. Ripple-linked wallets sent a combined 23 million XRP to rBNCyN during the week, with the funds later transferred to Binance.

The activity could be related to routine liquidity operations, such as on-demand liquidity or market-making. However, on-chain data alone does not establish the exact purpose of each transaction.

XRP Ledger activity has also increased. Daily active addresses averaged roughly 35,700 in August, up from around 26,400 in July. New address creation remained relatively stable at about 2,260 per day, indicating that existing users are becoming more active rather than the network seeing a major influx of new participants.

From a technical perspective, XRP remains within a descending pattern. Resistance is currently positioned around $1.022, and a breakout above that level could pave the way toward $1.05-$1.07. On the downside, a decisive break below $1 could expose the token to deeper losses.

Derivatives traders continue to favor long positions. The long-to-short ratio stood at 3.095, while the funding rate remained positive at 0.0087. This concentration of bullish bets could increase liquidation risk if XRP falls below support.

$1 Support Becomes Crucial for XRP

The $1.00-$1.015 area remains the key support zone. If XRP holds above this range, the token could continue moving sideways. A sustained breakdown, however, could intensify selling pressure.

A move back above $1.022 would provide an early bullish signal and potentially send XRP toward the $1.05-$1.07 resistance area.

With open interest nearing $986.48 million and long exposure heavily concentrated, XRP’s reaction around $1 could determine its next major move.

For now, rising ledger activity, significant wallet transfers and heavily skewed derivatives positioning have placed XRP at a critical juncture, with the $1 level likely to determine whether the token stabilizes or faces another leg lower.