Ripple unlocked 1 billion XRP on May 1st, worth more than $2.2 billion.
Added subrit supply could put a short pressure on XRP, potentially falling 2.78%.
Most unlocked XRPs are usually locked, limiting their long-term price impact.
XRP has been on a mild uptrend since mid-April, reaching two temporary highs of nearly $2.30, but has seen a considerable downtrend over the past 24 hours as the tokens went to $2.23 at a press-time price of 2.78%.
The timing of the downward fix was particularly unfortunate as Ripple Labs is set to unlock more than $2.2 billion tomorrow on May 1st.
In most situations, our scheduled unlocking is part of its long-term strategy and long-standing escrow system, so it does not have a meaningful impact on token price actions. However, a sudden jump in supply could exacerbate existing downtrends.
In the May cycle, two ripple wallets are active after being locked for many years: ripple (26) and ripple (27).
The former includes two escrows and 300 million XRPs that are planned to unlock 200 million units, while the latter has one batch of 500 million tokens. xrpscan April 22nd.
Why the potential impact on XRP prices is short-lived
Still, even if it had an impact on prices, it would be short-lived as Ripple’s standard practice involves relocking most of the tokens after some of them were assigned to operational and similar uses.
Due to many other factors affecting the price of XRP in 2025, it is unlikely that downward pressure will continue, even if it proves meaningful. So far, external developments such as the unpredictable yet escalating Trump trade war and Bitcoin (BTC) (BTC) cryptocurrency market have had tokens in gravity.
More recently, the Securities and Exchange Commission (SEC) has decided to postpone Franklin Templeton’s ruling on the Spot XRP Exchange-Traded Fund (ETF).
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