A significant drop in xrp reserves on exchanges suggests increased demand and potential accumulation by holders, which is bullish. however, institutional etf flows are stagnant or negative, creating a counteracting neutral pressure.
The declining exchange reserves indicate that more xrp is being moved to private wallets, usually for holding, which implies buying pressure. this is a bullish signal, despite recent mixed price action and stalled institutional etf interest.
The article suggests a potential price recovery this weekend, implying a short-term effect of the reserve drop. the current price increase is also a short-term indicator.
Cover image via U.Today XRP supply shrinks XRP institutional holders still dormant Advertisement Although XRP has been showing mixed price action recently, with its price retracing back to levels seen before its latest rally, its exchange activity suggests that traders are still buying. Latest exchange data provided by crypto analytics platform CryptoQuant shows that XRP is still in demand as the amount of tokens available on exchanges has declined substantially. XRP supply shrinks Per the data, the amount of XRP sitting on all exchanges where it is listed, including Binance , has dropped to 2,750,702,461 XRP as of Saturday, March 28. HOT Stories XRP Sets up Bear Trap, Shiba Inu Bull Market Confirmed; If This Hits, Will Ethereum Hold $2,000? Crypto Market Review Mystery Whale Rapidly Accumulates 35 Million in XRP in Under Hour This marks a significant decline from over 2.8 billion XRP recorded during the week, suggesting that XRP may be headed for a major price recovery this weekend. Advertisement It is important to note that the decline in the XRP exchange reserve is bullish for its potential price move as it reflects holders increasingly transferring XRP into private wallets, usually to hold. This is a key signal for increased buying activity, which could propel the price of XRP for higher surges. You Might Also Like Sat, 03/28/2026 - 06:04 XRP Faces Historically Bullish April: Can New Month Deliver 24% Gain in 2026? By Gamza Khanzadaev Following the plummeting exchange reserve, XRP has suddenly flipped positive in its price after showing notable price declines in the previous day. Advertisement With a mild increase of 0.23%, XRP is back to trading in the green zone at $1.33 as of writing time. While sentiment had just flipped positive, this mild price increase could be the beginning of a major price breakout if the XRP buying activity continues to intensify. XRP institutional holders still dormant While XRP has seen better price performance so far in March, with repeated price rallies pushing its price to break key resistance zones, institutional demand has stalled for the most part of the month. As seen in the daily XRP ETF flows, the funds have continued to record little to no new institutional capital, with consistent withdrawals from investors. While they have recorded the lowest performance this month, the XRP ETFs are on the verge of recording their first monthly outflow since launch. #XRP #XRP Price Prediction #Spot XRP ETF #Binance