Ripple Co-Founder Chris Larsen Realizes $764M in XRP Profits Amid Market Uncertainty
Introduction
In a significant development that has captured the attention of the cryptocurrency market, Ripple co-founder Chris Larsen has realized over $764 million in profits from XRP sales since 2018. This substantial profit-taking activity, often occurring near local price peaks, coincides with a period of pronounced market weakness for XRP, which has declined nearly 16% over the past month. The situation was highlighted by an on-chain analyst who detailed Larsen's cyclical selling strategy, including a recent single transaction of 50 million XRP, valued at approximately $120 million. While this specific sale was directed toward a new corporate investment, the pattern of sales has raised questions among investors. This occurs against a backdrop where technical analysts point to potential bullish signals and historical seasonality that could pave the way for a significant price recovery in the coming weeks.
Chris Larsen’s $764 Million XRP Profit Realization: A Cyclical Strategy
According to a disclosure by CryptoQuant’s community analyst Maartun, Ripple co-founder Chris Larsen has realized a total of $764,209,610.42 in profits from XRP sales since January 2018. The analysis reveals a clear pattern of Larsen offloading significant portions of his holdings, frequently timing these sales near local market highs. This strategy of profit-taking by a major figure and early investor has become a point of scrutiny for the XRP community and market observers.
The most recent and largest recorded sale occurred on October 20, when Larsen sold 50 million XRP. This transaction, worth around $120 million, surpassed all his previous individual sales in scale. Such consistent and sizable realizations from a co-founder can influence market sentiment, as they are often interpreted as signals about the asset's short-term valuation from those with intimate knowledge of the project.
The Evernorth Investment: Contextualizing the Latest 50 Million XRP Sale
While the sheer volume of the latest sale drew immediate attention, further context emerged linking the transaction to a specific corporate initiative. The 50 million XRP were directed to Evernorth, a firm that announced plans to go public and raise $1 billion to launch an XRP-focused digital asset treasury.
Larsen himself confirmed the destination of the funds, stating on social media platform X (formerly Twitter), “Evernorth fills the missing link today in XRP capital markets, and XRP usage in DeFi products. I’m proud to invest 50 million XRP in the firm (you may see some wallet movement on this).” Evernorth also publicly listed Larsen among its investors. This clarification indicates that not all sales from key figures are purely for profit realization; some are strategically redeployed capital into ecosystem development. However, as Maartun noted, despite this specific investment purpose, Larsen’s overarching pattern of selling near peaks remains a distinct trend for market analysts to consider.
A History of Significant Movements: Previous Flags from Blockchain Investigators
The recent activity is not an isolated incident in terms of market observation. Earlier this year, blockchain investigator ZachXBT flagged a similar series of movements from an address linked to Chris Larsen. Between July 17 and July 24, the address moved 50 million XRP, which was worth approximately $175 million at that time.
ZachXBT reported that “$140 million ended up at exchanges/services. ~$35 million received to two new addresses.” This historical data reinforces the pattern identified by Maartun, showing that large-scale movements from Larsen-associated wallets have been a recurring feature of the XRP market landscape. Tracking these on-chain flows provides a data-driven backdrop to understanding supply-side pressures on the asset.
Market Headwinds and Profit-Taking Weigh on XRP Price
Concurrent with these high-profile sales, XRP has faced significant market pressure. Data from BeInCrypto Markets shows that XRP’s price dipped nearly 16% over the past month. This downturn aligns with October being one of XRP’s historically weakest months for performance.
The downward pressure has been exacerbated by broader profit-taking across the network. BeInCrypto reported that wallets holding over 1 billion XRP have collectively sold more than 1.09 billion tokens, representing a sell-off worth approximately $2.6 billion. Furthermore, data indicates that net outflows from long-term holders have surged to 220%. This combination of seasonal weakness and concentrated selling from both whales and long-term holders has created a challenging environment for XRP’s price stability.
Technical and Seasonal Analysis: A Bullish Outlook on the Horizon?
Despite the recent bearish trend, some technical analysts point to emerging signals that could indicate a potential reversal. One analyst highlighted that XRP is nearing the end of its downtrend and could be poised for a strong rally. The analysis cites several technical indicators, including the Moving Average Convergence Divergence (MACD) showing higher lows on the weekly chart, the Stochastic RSI (SRSI) residing in oversold territory, and price action approaching key channel support.
Based on this technical setup, the analyst projected that XRP could potentially target a price of $5. “XRP is showing signs of a bullish reversal on the horizon. Channel support awaits below, with HLs on the weekly MACD, and SRSI levels in oversold territory,” the analyst wrote.
Beyond technicals, historical seasonality offers another layer of optimism for XRP holders. November has historically been XRP’s strongest performing month, with average returns around 88%. This seasonal pattern suggests that the current weakness in October could potentially give way to a significant rebound as the calendar turns.
Strategic Conclusion: Navigating Uncertainty Between Data and Sentiment
The recent realization of $764 million in profits by Chris Larsen presents a complex narrative for XRP. On one hand, it underscores a long-term, cyclical strategy by a key founder and represents significant selling pressure. On the other, it is crucial to differentiate between sales for direct profit and strategic capital allocation into projects like Evernorth that aim to bolster the XRP ecosystem.
The current market state for XRP is a tug-of-war between persistent profit-taking—evidenced by whale selling and elevated long-term holder outflows—and budding technical and seasonal indicators that have historically preceded substantial rallies. For professional crypto readers and investors, the immediate focus should be on monitoring key technical levels for confirmation of a bullish reversal and observing whether historical November seasonality materializes this year.
The broader takeaway is that XRP exists in a state of tension between foundational supply dynamics and technically-driven price potential. Investors should watch for a convergence of factors: a stabilization in on-chain selling metrics from large holders, a confirmed breakout above key resistance levels on high volume, and broader market catalysts that could amplify its historical seasonal trends. As always, decisions should be based on verified data points rather than sentiment alone.
Disclaimer: This article is based on publicly available information and is for informational purposes only. It is not financial advice. Readers should conduct their own independent research and consult with a qualified professional before making any investment decisions.