XRP Exchange Reserves Jump 10% — Rising On‑Chain Sell Pressure Despite Price Rebound
CryptoQuant on-chain data shows XRP exchange reserves rose roughly 10.58% in 24 hours (about 2.78 billion XRP, ~US$3.98 billion), with exchange supply share up 7.22%. The increase occurred while XRP’s market price was rising, signalling traders are moving coins to exchanges—often a precursor to selling. Rising exchange reserves and supply share typically indicate growing sell pressure and potential for increased volatility. Short-term, this may pressure XRP prices if exchanges see higher outflows to market; longer-term effects depend on whether reserves are converted to fiat/stablecoins or withdrawn to cold storage. Key keywords: XRP, exchange reserves, on-chain metrics, sell pressure, CryptoQuant.
Bearish
A sudden ~10% rise in XRP exchange reserves and a 7.22% increase in exchange supply share while price is rising suggests traders are moving holdings onto exchanges, a common precursor to selling. Historically, similar on-chain spikes in exchange balances (for BTC, ETH and other altcoins) have preceded short-term price pullbacks as concentrated selling hits order books. Short-term: increased sell-side liquidity on exchanges raises the likelihood of downward pressure and higher volatility if large sell orders execute. Medium-term: if reserves are converted to fiat or stablecoins, supply on markets increases and price remains under pressure. Long-term: impact depends on catalyst — sustained accumulation by exchanges could be bearish, while temporary transfers (arbitrage, custodial rebalancing, ETF flows) may be neutral. Traders should monitor exchange outflows, large wallet movements, order book depth on major venues (Binance, etc.), and on-chain indicators (netflow, whale transaction counts) to time entries or adjust risk. Use tighter risk management and watch for volume-confirmed breakouts before adding exposure.