XRP Sentiment Splits: Smart Money Shorts While Whales Accumulate
TREE NEWS reports: On-chain data from Santiment reveals a striking divergence in XRP positioning. As of November 6, only one of the historically most profitable XRP wallets still holds a long position—and it hasn’t traded since August. Meanwhile, three active short sellers have added roughly 2.1 million XRP since late October, doubling down on bearish bets. This data surfaced alongside a Score Arena prediction targeting $0.99, with the trader set to be proven wrong only if XRP closes above $1.36 before the November 19 settlement. XRP traded near $1.16 on November 7, about 15% above the bearish target.
Whale Accumulation and Network Growth Offer a Counter-Narrative
Beneath the bearish derivatives positioning, the spot and on-chain structure tells a different story. Wallets holding at least 1 million XRP reached 2,147 on November 3—the highest level since 2026—adding 28 such wallets in just ten days. The XRP Ledger also saw 7,934 new wallets created on November 1, the sixth-highest daily total this year. Santiment notes that sustained daily wallet creation above 4,000, combined with a price recovery above $1.30, would constitute a more constructive signal.
Industry Implications: Smart Money vs. Retail and Whale Behavior
The retreat of historically profitable wallets from long positions suggests that some of the most sophisticated market participants are de-risking or actively betting against XRP in the near term. However, the simultaneous accumulation by large holders—often referred to as whales—creates a classic tug-of-war. This divergence can lead to increased volatility as short-term traders and long-term accumulators battle for control. For DeFi protocols and XRP-based products, such uncertainty may dampen trading volumes and liquidity provision in the short run, but whale accumulation could signal confidence in XRP’s longer-term utility, particularly in cross-border payments and RWA tokenization.
Forward-Looking Perspective: Key Levels to Watch
All eyes are on the $1.30 resistance and the $0.99 bearish target. A break above $1.30 with sustained wallet growth could force short covering and validate the whale accumulation thesis. Conversely, a drop toward $0.99 would vindicate the bearish cohort and potentially trigger further long liquidations. Market participants should monitor the November 19 settlement date closely, as it may serve as a catalyst for either a short squeeze or a renewed sell-off. For now, the XRP market remains a battleground between cautious smart money and opportunistic whales.
