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Ripple and Coinbase Under Scrutiny: Allegations of XRP Price Manipulation Ignite Controversy

Recent allegations regarding potential price manipulation of XRP by Coinbase have sparked a lively debate in the cryptocurrency community.

Activist Stern Drew claimed that Coinbase's XRP holdings drastically declined from approximately 970 million to between 260 and 300 million in just a couple of months.

This reported sell-off coincided with XRP's struggle to surpass the $1.20 resistance level, leading to speculation about deliberate actions taken by the exchange.

Drew suggested that Coinbase spread out these sales across various wallets and directed them to over-the-counter desks linked with traditional finance, which he believes stifled XRP's price.

However, there is currently no concrete evidence or official investigation substantiating these allegations, as Coinbase has remained silent on the issue.

Experts attribute the decrease in Coinbase's XRP holdings to standard liquidity management practices rather than any manipulative intent.

Notably, market sentiments and trends could be influencing XRP's price movements, as indicated by XRP advocate Bill Morgan.

Ripple's CTO, David Schwartz, reinforced the idea that external factors such as regulatory climates and market uncertainties are shaping XRP's pricing rather than any orchestrated manipulation by Coinbase.

As it stands, the allegations of manipulation remain speculative, primarily stemming from internal analyses within the XRP community.

The situation underscores the need for careful consideration of market dynamics in the ever-evolving landscape of cryptocurrency trading.