Ripple’s Scheduled Unlock Raises Eyebrows as XRP Faces Sudden Dip Ahead of May 1 Event

XRP has seen a gentle climb since mid-April, hitting temporary peaks around $2.30. However, that momentum was cut short in the last 24 hours, with the token dropping 2.78% to $2.23 — just ahead of a major scheduled token release by Ripple Labs.

Set for May 1, Ripple plans to unlock 1 billion XRP from escrow, a tranche valued at over $2.2 billion. The timing has sparked concern among traders, as the added supply could deepen the recent correction.

Two long-dormant wallets — Ripple (26) and Ripple (27) — are set to re-enter circulation after years of inactivity. XRPScan data shows that Ripple (26) holds escrows containing 200 million and 300 million XRP, while Ripple (27) houses a 500 million token escrow. Combined, these make up the full 1 billion XRP release.

Historically, Ripple’s monthly unlocks haven’t heavily impacted XRP’s price. Most of the released tokens are typically returned to escrow, with only a fraction being allocated for internal operations. This pattern is expected to continue, which may help cushion any selling pressure.

Still, market watchers remain cautious. With macroeconomic tension — such as the escalating trade rhetoric under former President Donald Trump’s return to the spotlight — and the broader crypto market reacting to Bitcoin’s volatile moves, XRP finds itself under multiple influences.

Adding to the uncertainty, the U.S. Securities and Exchange Commission (SEC) has delayed its decision on Franklin Templeton’s spot XRP ETF. Though the SEC has adopted a somewhat friendlier stance toward crypto lately, the delay could introduce short-term bearish sentiment around the token.

Despite these headwinds, most analysts agree that any impact from the token unlock will likely be short-lived — part of Ripple’s ongoing supply strategy rather than a signal of weakness.