The divide between large XRP holders and smaller investors widened over the past five weeks, according to on-chain data reviewed by CoinDesk. Whale wallets , defined as addresses holding substantial XRP balances , increased their collective holdings by 2.8% during the period, signaling renewed conviction among major players even as smaller participants exited positions.

This accumulation pattern emerged alongside notable retail capitulation. Smaller holders sold at a faster pace than at any point in recent months, creating a transfer of supply from unsophisticated investors to better-capitalized market participants. The dynamic mirrors historical cycles where large holders accumulate during periods of retail fear, often preceding directional price shifts.

The selling pressure from smaller wallets did not suppress XRP's price for long. After dipping during the heaviest retail liquidation window, the token recovered and climbed back above $1.16, buoyed by whale buying that absorbed the excess supply. The recovery illustrates how concentrated ownership can function as a price floor during periods of broad market uncertainty.

On-chain analysts who track XRP distribution note that whale accumulation at this pace is uncommon outside of major market turning points. The 2.8% increase represents a meaningful vote of confidence from holders who typically have access to deeper market intelligence and longer investment horizons than retail participants.

For traders watching XRP, the signal is straightforward: the smart money is buying while smaller investors are selling. Whether this dynamic translates to sustained upside depends on broader market conditions, but the accumulation trend suggests that large holders are positioning for potential future strength in Ripple's native token.