According to the chart, approximately 1.6 billion XRP flowed into Binance over the past 30 days. This was reported as the highest 30 day level since March.

XRP transferred to an exchange increases the supply that could be put up for sale, making it a short term risk indicator. However, an inflow does not mean a sale has taken place. To determine whether these transfers are turning into sales, it is also necessary to monitor XRP leaving the exchange, changes in Binance’s reserves, and spot market volume. In other words, large inflows increase the possibility of selling pressure; but if reserves are not rising significantly and the price is absorbing this supply, it would be unwise to interpret the data as a direct forecast of selling.

The data supports a cautious short term stance, but without confirmation from net flows and price action, it does not give a definitive bearish signal. If inflows continue to rise while reserves increase and the price weakens, downside risk will strengthen. If reserves remain flat despite the inflows and the price holds, the market may be absorbing the selling pressure.

Written by PelinayPA