XRP reserves on Binance have dropped to their lowest point since early 2024 as the token’s price remains stuck below the $1.50 mark.
The crypto exchange now holds roughly 2.5 billion XRP, down sharply from around 3.2 billion XRP in November 2024 and back to levels last seen in January 2024, based on new on-chain data accessible on CryptoQuant on February 16.
Historically, declining exchange reserves have signalled reduced immediate selling pressure, particularly when XRP moves into self-custody. Accordingly, such setups tend to be interpreted as a longer-term accumulation strategy on the part of institutions and large holders.
Something similar happened with Ethereum (ETH) earlier this month, when the second-largest crypto saw its on-exchange reserves sink to a ten-year low. The drawdown had unfolded gradually as ETH prices pulled back, not driven by price swings but long-term holding behavior.
XRP’s current reserve decline accelerated after Binance introduced support for the RLUSD stablecoin on the XRP Ledger (XRPL) late last week. While many expected increased on-chain activity, the more immediate effect appears to be XRP flowing off the exchange instead.
On the price front, XRP is down nearly 6% over the past 24 hours, trading at $1.47 at the time of writing and underperforming the broader cryptocurrency market.
The decline follows a rejection of the $1.53 mark, marking a decisive momentum shift below $1.50. Now, momentum indicators suggest there may still be room for further downside.
For example, the 14-day Relative Strength Index (RSI) stands at 41.82, above oversold territory, indicating bearish momentum is not to be underestimated. The rejection has likely prompted technical traders to reduce exposure, reinforcing the downside move.
Also noteworthy is XRP’s loss of more than $11 billion in market value over the past 24 hours, which fell from $101 billion to $89.31 billion at press time. While the broader market was nothing to write home about either, XRP’s sharp decline appears to have been amplified by heavy selling activity on Upbit, where roughly $50 million worth of the cryptocurrency was reportedly offloaded.
With XRP now trading at $1.47, the $1.50 region may act as near-term resistance. On the other hand, $1.40 stands out as immediate support. In other words, a sustained break below that level could open the door to deeper losses.
