Exchange reserve data is showing a significant contraction in XRP balances held on Binance. According to CryptoQuant analysis, Binance's
$XRP reserves have fallen to approximately 2.5 billion tokens—the lowest level recorded since early 2024.
Roughly 700 million XRP has exited the exchange, and what matters here is that this isn't a short-term fluctuation driven by market volatility or isolated withdrawals. It's a structural shift in on-exchange supply dynamics.
When large amounts of crypto move off exchanges, it typically signals one of two things: either holders are moving assets into cold storage with no intention to sell in the near term, or institutions and large players are repositioning for reasons that aren't immediately visible on-chain. The scale here—700 million tokens—suggests this isn't retail behavior. Retail doesn't move that kind of volume in coordinated fashion.
This looks more like accumulation, custody transfers, or strategic repositioning by entities that operate at size. Lower exchange reserves generally reduce available selling pressure, which can support price if demand holds or increases. But it also raises questions about where those tokens went and what the holders intend to do with them.
The timing matters too, given ongoing developments around Ripple's legal status and institutional adoption of
$XRP for cross-border payments.
#xrp #crypto #Binance #Onchain #SupplyShock