Chris Larsen, Ripple co-founder, transferred 50 million XRP, causing a market dip from July 20-26, 2025, as analysts linked his wallet move to investor sentiment shifts.
The XRP market observed a 13% price correction, highlighting investor sensitivity to major wallet activities and increasing volatility with $105 million in liquidations.
Chris Larsen, Ripple co-founder, transferred 50 million XRP in early July, sparking concerns about market impact. Analysts linked these movements to increased sell-side pressure, resulting in a noticeable market correction and heightened scrutiny among investors.
Larsen’s wallet, holding approximately $9 billion in XRP, moved a significant amount to exchanges. This action was interpreted as potentially influencing XRP’s market sentiment. The transactions occurred without any accompanying public statement from Larsen.
XRP Drops 13% Following Large-Scale Transfer
The large XRP transfer resulted in a rapid price decline of around 13%, with the asset dropping from $3.65 to $3.14. Market volatility ensued, contributing to over $105 million in long liquidations, reflecting the sudden shift in market dynamics.
Analysts warn this could signal further market volatility, drawing parallels to past whale movements affecting asset prices. Historical data suggests similar events can lead to temporary declines, though the overall effect may be short-lived if investor confidence rebounds. J. A. Maartunn, an analyst at CryptoQuant, remarked,
“If $200 million was just the warm-up… what’s next?”
Experts Predict XRP Surge Despite Volatility
Similar volatility patterns were noted during past high-leverage market actions. In March 2025, BTC experienced a 9% decline due to comparable liquidations, suggesting that whale actions can significantly influence market psychology and investor behavior.
Crypto expert Arthur Hayes predicts a possible XRP price surge to $5–$7 levels if market conditions stabilize. This forecast is based on on-chain data and similar historical trends, indicating a potential for recovery and renewed investor interest. Arthur Hayes, Co-founder of BitMEX, stated,
“If that happens, XRP might explode—potentially pumping 50–100%, targeting $5–$7 levels.”
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