Billions in the XRP tokens and thousands of Bitcoin were sent to exchanges shortly after US President Donald Trump revealed plans to include the assets as part of an American crypto strategic reserve, one that may have contributed to their rapid price turns following an increase.
Hourly flow reached up to 193 million XRP following Trump’s message with most of the currents coming from whales (or influential holders of any asset) performing transactions of 1 million or more XRP, the company Cryptoquant said in a Tuesday in a Tuesday report.
On the other hand, the hourly amount of Bitcoin (BTC) increased to exchanges from 500-1,000 to a high of 6,739 BTC one day after the announcement. Meanwhile, ETH flow spread to exchanges to almost 300,000 in one hour.
Inflow to exchanges from funds and dealers usually implies an intention to sell, as large token stocks are usually stored in cold (or offline) wallets
Meanwhile, cryptoquant analysts noticed that the increase and sudden fall of Cryptocurrencies on Monday and Tuesday indicated that real demand continued in the contraction.
“Bitcoin apparently demand growth has continued to fall after a period of acceleration in November – December 2024 spurred by US election results and is now in the area of contraction for the first time since September 2024,” analysts said. “Unless Bitcoin -the demand starts to rise again, it will be challenging to maintain a rally in crypto prices.”
Apparently demand is an on-chain metric used to measure the balance between Bitcoin’s production (newly clarified coins through mining) and changes in its warehouse (coins that have been inactive for over a year). Retail collection has been down since the beginning of November, which Coindesk previously reported.
