XRP Exchange Balances Rise to 11.81 Billion, Near 1-Year High for Potential Sell Supply

XRP holdings on exchanges have climbed to about 11.81 billion tokens, reaching a level in the top 1% of the past year, according to market data. The increase in readily sellable supply could amplify short-term volatility.

CoinGape reported on Oct. 19, citing CryptoQuant data, that XRP exchange reserves totaled about 11.81 billion tokens. That puts the figure in the 99th percentile of the past 365 days.

On-chain analyst CryptoOnchain wrote in a post on X on Oct. 18 that XRP supply on exchanges is increasing even as leverage in the derivatives market is falling rapidly.

Binance XRP open interest has fallen about 15.8% from the start of this month. Long liquidations also surged over the same period, suggesting a substantial share of leveraged positions has been cleared.

“Leverage reset faster than exchange supply,” CryptoOnchain wrote. In other words, excessive positioning in derivatives has eased, but the amount of XRP moved onto exchanges remains high.

Over the past 30 days, large wallets also sent 1.6 billion XRP to Binance, the highest level in six months. XRP has recently traded in a range of $1.28 to $1.35.

Still, rising exchange balances do not necessarily lead directly to selling pressure. CoinGape said investors should also watch the direction of net exchange inflows and spot exchange-traded fund flows over the next five to 10 trading days.

Cumulative net inflows into spot XRP ETFs currently total about $1.8 billion, while Nasdaq-listed XRP treasury company Evernorth manages about 473 million XRP. That institutional demand could absorb part of the increase in exchange supply.