On-chain data reflect the movement of large volumes of $XRP tokens on the Binance cryptocurrency exchange. The transfers, which involve notable inflows and outflows, suggest a shift in investor behavior, with higher levels of liquidity and market activity.
$XRP Inflows Surge in 30 Days
As identified by a CryptoQuant analyst, a significant increase in $XRP inflows on Binance coincides with the cryptocurrency trading near $1.17, even though it traded at $1.13 at the time of writing, according to TradingView’s data.
The observed inflow adds to the growing trend over the last 30 days, which saw $XRP total whale inflows on Binance rise to 1.33 billion $XRP, the highest level in two months. Before the latest surge, the indicator dropped below 1 billion $XRP. Hence, a renewed increase in activity among major investors.
Typically, increased digital asset inflows into centralized exchanges suggest preparation to sell, even though that is not always the case. Therefore, the latest development puts retail investors on alert, as they observe which way the market could trend next.
Related: $XRP Price Prediction: Is a Rebound Coming or Will Bears Push Toward $0.90?
A Fresh Wave of $XRP Withdrawals
Amid surging $XRP inflows into Binance, another CryptoQuant analyst has identified a contrasting event involving large exchange withdrawals moving in the opposite direction. According to the analyst, the Multi Exchanges Daily Outflow Amount Above 1M chart shows a fresh wave of large $XRP withdrawals from Binance, with transactions above 1 million $XRP each becoming more active since the start of June.
Binance alone recorded around 465 million $XRP in large daily outflows from June 3 to June 11. The analyst observed a pattern suggesting that whale-sized movements are again becoming a key part of $XRP’s market structure. That could be a positive development for the cryptocurrency, which has endured a period of low volume, with prices trading within a tight horizontal range.
In contrast to the potential effects of large deposits, significant withdrawals often suggest accumulation. More specifically, they can reduce the amount of $XRP immediately available on exchange order books, typically creating an important contrast between short-term selling pressure and larger holders moving coins away from trading venues during price weakness.
For now, $XRP appears to be in an equilibrium, with bulls and bears trying to find a balance. The dominant question remains whether reduced exchange liquidity can help the cryptocurrency stabilize after its recent decline.
Related: $XRP Price Prediction: $XRP Holds Near Key $1.17 Level as Bearish Trend Dominates
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