Ripple's 1 Billion XRP Unlock: What Will It Mean for the Price?

Ripple is set to unlock 1 billion XRP tokens on January 1, marking the first token unlock of 2025. This raises the question: Will it affect the price of XRP?

What is the XRP Unlock Event?

Ripple has locked 55 billion XRP, nearly 55% of its total supply, in an escrow account. Every month, Ripple unlocks 1 billion XRP for operational funding and liquidity. While it’s a large amount, it doesn’t usually impact the XRP price because these tokens are not sold directly on the market.

How Does This Affect XRP’s Price?

  • Liquidity, Not Sell Pressure: Ripple unlocks tokens to provide liquidity, not to sell. This keeps supply steady and avoids price drops.
  • Re-locking Tokens: Some unlocked tokens are re-locked, further reducing market impact.
  • Past Trends: Even during the largest XRP sell-off in December 2024, the price stayed stable at $1.8 and surged the following day.

What to Expect from the January 1 XRP Unlock?

On January 1, Ripple will unlock 1 billion XRP in three transactions:

  • 200 million XRP
  • 300 million XRP
  • 500 million XRP

This unlock will release 1.75% of XRP’s circulating supply. However, Ripple’s strategy ensures minimal price impact by using these tokens for liquidity, not market sales.

XRP’s Long-Term Price Outlook: Can it Reach $10?

XRP has surged over 250% recently, despite recent consolidation. Currently at $2.18 as per Coinpedia Market, it has shown impressive performance, though its future price is influenced by Bitcoin's movements. Analysts see a potential for XRP to hit new all-time highs (ATH), with the $10 target still in play if market conditions remain favorable.


For a more detailed XRP Price Prediction, check out our full analysis!

Will Future Unlocks Affect XRP’s Price?

Ripple will unlock 55 billion XRP over the next 55 months. These unlocks are for liquidity, not trading, and have little impact on XRP’s price. This makes Ripple's unlocks similar to stablecoin printing, with minimal market disruption.

Ripple’s monthly 1 billion XRP unlocks are essential for liquidity but rarely affect XRP’s price. The long-term target of $10 remains realistic as long as Bitcoin performs well and XRP continues to gain demand.

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