- XRP whale transfers to Binance have fallen to their lowest level since 2021.
- Reduced selling pressure hasn’t stopped short-term price declines.
- Broader crypto market weakness remains the dominant factor.
Ripple’s XRP is flashing mixed signals as large holders retreat from Binance while the token’s price continues to slide. On-chain data shows whale transfers to the exchange have dropped to their lowest point in years — a sign that selling pressure may be easing. Yet the market response has been anything but bullish, with XRP slipping to a short-term low amid broader crypto weakness.
This divergence highlights a familiar tension in crypto markets: on-chain optimism versus macro-driven price action.
XRP Whale Activity Hits Multi-Year Lows
Recent data from the XRP Ledger, analyzed by CryptoQuant contributor Arab Chain, shows a sharp decline in large XRP transfers to Binance. Whale inflows fell to roughly 48 million XRP before edging back above 56 million — levels not seen since 2021.
Whale transfer flow tracks how many tokens large wallets move onto exchanges, often serving as a proxy for potential selling intent. When these flows rise, it can signal preparation for distribution. When they fall, it usually suggests whales are holding rather than selling.
In isolation, this trend is typically constructive. Reduced exchange inflows mean fewer tokens are readily available for sale, which can limit downside pressure and support prices over time.
Price Weakness Persists Despite Lower Selling Pressure
Despite the drop in whale activity, XRP has moved lower in recent sessions. The token recently traded around $2.07, down about 1.5% on the day and nearly 3% over the past week, even as it remains modestly higher on a monthly basis.
This price action contrasts with past cycles. In 2021, similarly low whale inflows preceded a strong rally as tightening exchange supply helped fuel demand. That historical parallel has fueled speculation that XRP could eventually follow a similar path.
For now, however, price direction appears disconnected from whale behavior. The lack of immediate upside suggests that reduced selling pressure alone is not enough to counter current market conditions.
Broader Market Drag Weighs on XRP
The primary headwind for XRP appears to be the wider crypto market. Total market capitalization has slipped over the past 24 hours, with major assets like Bitcoin, Ethereum, and Solana also trading lower.
In this environment, even assets with supportive on-chain signals struggle to attract fresh inflows. Risk appetite remains muted, and traders are cautious amid macro uncertainty and uneven momentum across large-cap tokens.
While XRP’s short-term trend remains under pressure, subdued whale activity could still matter over a longer horizon. If market sentiment stabilizes and demand returns, limited exchange supply may help cushion further declines or support a recovery.
Until then, XRP’s price is likely to remain tethered less to whale behavior and more to the broader direction of the crypto market.
Also Read: XRP Is a Done Deal: SEC Signals Major Regulatory Breakthrough
XRP’s current slide underscores how powerful market-wide forces can override positive on-chain signals. Whale inactivity suggests holders are not rushing to sell, but as long as the broader market remains weak, price recovery may take time. For traders and long-term holders alike, the coming weeks will hinge on whether macro sentiment improves enough for XRP’s underlying supply dynamics to matter again.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of CoinBrief.io. Before making any investment decisions, you should always conduct your own research. CoinBrief.io is not responsible for any financial losses.
