Recent developments in the cryptocurrency space indicate a significant shift in the behavior of XRP whales. New reports suggest that these large investors are withdrawing massive amounts of XRP from Binance, the world’s largest crypto exchange. This trend has resulted in a notable cessation of sell-offs on the platform, with whales moving their tokens to private wallets. Consequently, the supply of XRP on exchanges is rapidly diminishing, a phenomenon that typically bolsters prices. However, despite these bullish indicators, XRP is experiencing a price crash, struggling to regain traction amid the prevailing market weakness.
XRP Price Drops as Whales Exit Binance
Market analyst Pumpius recently highlighted the dramatic decline in XRP whale activity on Binance, which has plummeted to near-zero levels. In an insightful post on X, he shared an outflow chart from CryptoQuant, demonstrating that these significant investors have effectively halted their sales, potentially indicating a strategic shift towards accumulation.
Members of the crypto community speculate that the prior outflows may have been tied to rumors that Binance had frozen XRP trading activity, thereby restricting the asset’s market movement. There are even whispers that Binance may have partially suspended the XRP network on its platform. In response to this uncertainty, some investors and traders are choosing to withdraw their assets.
Pumpius pointed out that the last time XRP outflows on Binance dwindled to such an extent, it preceded a substantial price rally in 2025 when the altcoin skyrocketed from $0.40 to $3.20—an astounding gain of over 700%. This suggests the potential for a new accumulation phase, igniting hopes of another legendary bull run similar to that of 2025.
Despite the optimistic outlook surrounding the dwindling whale activity, XRP’s price continues to face downward pressure. The cryptocurrency is currently grappling with a bearish market structure that has seen it drop more than 10% within the last 24 hours, slipping from above $1.20 to approximately $1.15.
Data from CoinMarketCap attributes this sharp decline to a wave of liquidations within the derivatives market, which wiped out over $25 million in leveraged long positions and triggered additional selling. Furthermore, Bitcoin’s decline below $63,000 and escalating geopolitical tensions between the US and Iran have exacerbated the overall market weakness, dragging XRP lower.
Mounting Seller Pressure on XRP
Crypto market analyst ‘That Martini Guy B’ has noted that XRP remains under significant selling pressure. Over the past several months, the cryptocurrency has been trading within a range of $1.30 to $1.40. However, this week, the altcoin broke through crucial support levels, falling below $1.20 and reaching its lowest price of the year.
Although whales are transferring XRP off exchanges to mitigate immediate selling pressure, the broader market trend shows no signs of stabilizing. This persistent bearish momentum suggests that XRP may face further declines in the near term, with additional support levels likely to be tested if the downward trend continues.
As the crypto landscape evolves, all eyes will be on XRP to see if this accumulation phase among whales will indeed lead to a resurgence in price or if broader market dynamics will dictate its fate.
