XRP is flashing an interesting signal. Over the past 10 days, around 200 million XRP have left Binance. At the same time, the exchange supply ratio has fallen from 0.027 to 0.025, according to market data. In simple terms, a smaller share of the total XRP supply is now sitting on Binance.
This drop happens after XRP went through a heavy 40 percent year-to-date correction. Price (black line) also pulled back from recent highs. The combination of falling exchange supply and a corrected price often suggests that some investors are moving coins off exchanges into private wallets. That behavior is commonly linked to accumulation rather than short-term trading.
It does not guarantee a rally, but historically, declining exchange balances can reduce immediate sell pressure. The broader crypto market has struggled to regain momentum. Interestingly, XRP stands out. Sentiment around XRP has climbed to a five-week high.
This shift appears to be driven by recent partnership expansion announcements and growing optimism within the XRP community. While Bitcoin and Ethereum sentiment cools, XRP discussions are heating up. XRP recently bounced strongly from its February 6 low, climbing roughly 30 to 35 percent. However, the rebound lacked strong continuation.
Price failed to break above a resistance zone formed earlier in February and is now drifting back toward its main support area between $1.19 and $1.36. XRP is holding above this support zone for the moment. If the price drops below $1.19 to $1.20, the risk of a deeper move increases, potentially opening the door to sub-$1 levels. For bulls to regain control, XRP needs a strong upward reaction from this support and eventually a break above $1.67, which marks the recent swing high.
The recent rallies have mostly formed three-wave structures, which are typically weaker and more corrective in nature. A stronger five-wave style breakout would be needed to confirm a more durable trend shift.
Why is XRP leaving Binance? Large amounts of XRP moving off Binance usually signals investors are transferring tokens to private wallets for long-term holding, which reduces the supply available for immediate selling. Is a falling exchange supply ratio bullish for XRP? Yes, a falling exchange supply ratio is often seen as bullish because it suggests there are fewer coins available to trade, which can potentially reduce selling pressure if demand remains steady. What price does XRP need to break for a trend reversal? For bulls to regain control and confirm a trend reversal, XRP needs to break above the recent swing high of $1.67 after holding its current support zone.
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