Whale Inflows Dampen XRP ETF Optimism As Selling Pressure Persists

Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing How Our News is Made Strict editorial policy that focuses on accuracy, relevance, and impartiality Ad discliamer Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. Expectations around XRP exchange-traded fundswere seen as a turning point that could unlock new institutional demand and change XRP’s price structure in favor of buyers. However, recent on-chain data suggests the price response has diverged immensely from that narrative. 

Metrics tracked by the on-chain analytics platform CryptoQuant point to a very different dynamic unfolding beneath the surface, one that explains why the altcoin continues to struggle for traction despite headline optimism and inflows into Spot XRP ETFs. Related Reading Banks Could Favor A Higher XRP Price, Finance Expert Says 1 day ago Whale Exchange Inflows Expose Supply Pressure

Data from on-chain analytics platform CryptoQuant reveals an interesting trendamong XRP whale addresses and their activity on crypto exchange Binance. A closer look at the Binance Inflow-Value Band chart shows that recent XRP deposits to exchanges are overwhelmingly concentrated in the 100,000 to 1 million XRP range and transactions exceeding 1 million coins. 

These are not retail-sized movements. They reflect activity from large holders moving significant balances onto exchanges, and this behavior aligns with distribution or preparation for selling. The chart showing the exchange inflow into Binance makes this pattern clear, with repeated inflow spikes driven almost entirely by these higher-value bands, while smaller transaction sizes are comparatively lower. 

The chart image below shows inflows in chunks between 100,000 XRP and 1 million XRP in purple and inflows of chunks more than 1 million XRP in light blue. Most of the inflows into Binance in the past few days have been characterized by these two cohorts, with a few instances of inflows in chunks between 10,000 XRP and 100,000 XRP. 

XRP Ledger: Exchange Inflow Value Bands – Binance. Source: CryptoQuant

This imbalance means that supply is being added to the market by whales at a pace that smaller buyers cannot absorb, and this is why inflows into Spot XRP ETFs have failed to have a positive effect on the altcoin’s price action. XRPUSD now trading at $1.94. Chart: TradingView Lower Highs, Lower Lows Confirm Supply Overpowering Demand

As shown in the price action overlaid in the chart above, the coin printed repeatedly lower highs and lower lows after major exchange deposits. This happens because of the relatively low numbers of new spot buyers on Binance, and even moderate selling pressure has been enough to cap rallies.

As it stands, the crypto is facing selling pressure every time it approaches $1.95. Based on the intensity of exchange inflows and the market’s reaction, the first meaningful support zoneis between $1.82 and $1.87. However, if large inflows persist, the data suggests the XRP price could continue declining to the $1.50 to $1.66 range. Related Reading Bitcoin Feels The Weight Of Quantum Risk Concerns, Industry Leaders Warn 2 days ago

The interpretation is that the ETF trend did not translate into sustained spot demand for XRP. Instead, whales who accumulated XRP ahead of ETF approval expectations appear to have used the resulting attention as an opportunity to dump their holdings. 

That said, inflows into Spot XRP ETFs may have helped limit deeper downside, as data from SoSoValue shows these funds recorded $82.04 million in inflows over the recent week.

Featured image from Unsplash, chart from TradingView