Analysis: XRP Exchange Outflows Rise, Signaling Easing Sell Pressure
Summary
- XRP outflows from Binance and Coinbase have exceeded inflows, signaling that near-term selling pressure may be easing.
- Total exchange XRP balances have fallen more than 50% from the previous cycle peak, making lower exchange reserves a positive factor.
- Still, new capital inflows from institutional investors remain limited, and slowing momentum suggests the price may continue to trade sideways.
Forecast Trend Report by Period
Analysis suggests selling pressure on XRP across exchanges is gradually easing.
AMB Crypto reported on May 21 that XRP outflows from Binance and Coinbase have recently exceeded inflows. Higher exchange outflows are typically interpreted as a sign that investors are moving assets to external wallets, reducing near-term selling pressure.
From mid-April to mid-May, however, XRP inflows were strong, particularly on Bybit. At the time, the market viewed that as a sign investors were preparing to sell amid an uncertain backdrop.
Falling exchange reserves were also cited as a positive factor. Binance's XRP holdings have remained at about 2.6 billion XRP, while total XRP balances across exchanges have dropped more than 50% from the previous cycle peak.
AMB Crypto described that as a signal that selling pressure is easing. It said, however, that new capital inflows from institutional investors remain limited.
CryptoQuant data show Binance's XRP accumulation indicator recently fell to about -0.0059. XRP's price has also lost momentum after facing resistance near $1.45.
AMB Crypto said continued XRP outflows from exchanges have eased immediate selling pressure. But with institutional demand still cautious, the token may continue to trade sideways until fresh capital inflows resume.
Suehyeon Lee
shlee@bloomingbit.ioI'm reporter Suehyeon Lee, your Web3 Moderator.