XRP Reserve Shrinks by 140,158,000, Who’s Buying?
Despite XRP's ongoing price correction, its exchange reserve declined by 2% or approximately $336.4 million worth in the past day, signaling potential increased buying activities. This drop suggests holders are transferring XRP to private wallets, indicating confidence and reduced selling pressure. The price movement is attributed to the broader crypto market trends rather than sell-offs. Additionally, anticipation builds for the launch of the first-ever spot XRP ETF on November 13, which is expected to attract institutional interest and drive long-term price growth. Whales are reportedly buying the dip in preparation for a potential price surge.
Layer-1
Centralized Payments
XRP Exchange Reserve Declines
Despite the ongoing correction in the price of XRP, its exchange reserve has shown a notable decline in the past day, raising optimism among holders. According to data provided by the on-chain analytics platform, the XRP reserve across all supported exchanges has shown a modest shortage of about 2% over the last 24 hours.
$336 Million in XRP Purchased
Notably, a chart published by the data source shows that the XRP reserve across all exchanges has reduced by 149,158,000 XRP, worth about $336.4 million in just 24 hours. As such, the total XRP sitting in all supported exchanges is worth about $6.82 billion as of November 11.
Key Indicator of Buying Activity
Sudden decreases in exchange reserves, especially for XRP, often suggest that holders are transferring XRP into private wallets. This serves as a key signal for increased buying activities, which could propel the price for higher surges. Furthermore, the metric often stands as a strong indication of long-term confidence and reduced selling pressure. Therefore, the ongoing decline in the price of XRP might not be attributed to market sell-offs but instead could reflect the broader crypto market trajectory.
XRP Bulls and Anticipated ETF Launch
Although the broad crypto market is currently witnessing severe price corrections, the decrease in XRP reserve comes as a surprise. Whales seem to have taken advantage of the situation by buying XRP at discounted prices to prepare for a major price move ahead. This resilience is linked to the growing anticipation of the first-ever spot XRP ETF, expected to launch on November 13.
Institutional Interest in XRP
Following the launch of the CanaryFund spot XRP ETF, XRP is set to offer institutional-grade access, making it more appealing to retail and institutional investors. Speculation suggests that XRP whales are quietly accumulating the token, betting on a potential supply squeeze once the ETF trading goes live.