XRP Surges While Bitcoin Lags; Dogecoin Slides Further Ahead of U.S. CPI Report.

XRP whale deposits on exchanges hit a six-month high early Tuesday, indicating a potential short-term bearish sentiment in the market.

XRP outperformed Bitcoin and other major cryptocurrencies, with Dogecoin (DOGE) experiencing the steepest losses in the last 24 hours ahead of the upcoming U.S. inflation data release. Bitcoin (BTC) remained steady around $98,000, while Ether (ETH), BNB (Binance Coin), and Cardano (ADA) dropped by up to 2%. DOGE fell by 4%, while Shiba Inu (SHIB) and Floki (FLOKI) saw minor increases of 1%. The CoinDesk 20 index, a basket of top cryptocurrencies, saw a modest uptick of 0.69%.

The U.S. Bureau of Labor Statistics is scheduled to release the consumer price index (CPI) data for November at 8:30 a.m. ET (13:30 UTC). This data will play a crucial role in determining the Federal Reserve’s approach to interest rates, which could significantly impact crypto markets in the near future. Inflation remains a key concern for the Fed, as indicated by the previous month’s CPI figures.

XRP, on the other hand, surged up to 7%, recovering losses from earlier in the week. The increase followed Ripple Labs’ announcement that it had received “final” regulatory approval to offer the RLUSD stablecoin in the U.S. This stablecoin will be issued on both the XRP Ledger and Ethereum networks and could play a key role in decentralized finance (DeFi) applications using XRP, enhancing its ecosystem.

However, just before this positive news, large deposits of XRP to exchanges, particularly Binance, reached a six-month high, suggesting possible short-term selling pressure. Over the last 30 days, more than 2.66 billion XRP tokens were transferred to Binance, the highest since April 2024, according to CryptoQuant data.

“The large inflows show that big XRP holders are actively moving their tokens,” said CryptoQuant’s independent analyst, maartunn. “Whale activity can often signal shifts in strategy, as these market players control significant assets.”

In the past, large XRP transfers to exchanges, like Binance, have preceded price drops, as observed in November 2023 and April 2024.