- Binance’s XRP reserves fell by nearly 100M XRP between May and June, says CryptoQuant.
- Spot XRP ETFs attracted $2.05 million in inflows on June 24, while Bitcoin and Ethereum ETFs posted outflows.
- Analysts are divided on XRP’s outlook as ETF demand and altcoin season hopes shape sentiment.
XRP balances on top crypto exchanges are falling fast, with Binance posting the largest reduction in the past six weeks.
The trend comes as spot XRP ETFs witness net inflows on June 24, while Bitcoin and Ethereum ETFs saw outflows.
Binance Leads Reserve Decline
According to CryptoQuant analyst Amr Taha, Binance’s XRP reserves dropped from 2.78 billion XRP on May 12 to 2.68 billion XRP on June 25. That represents a decline of nearly 100 million XRP, or 3.6%. Binance accounted for the largest share of the recent drop in exchange-held XRP.
Other exchanges also reported lower reserves. Upbit’s XRP balance declined from around 2.51 billion XRP at the end of May to 2.48 billion XRP on June 25. Bybit’s reserves dropped from about 92 million XRP to 82 million XRP.
While Binance saw the biggest drop based on the numbers, Bybit posted the steepest percentage decline.
Taha noted that falling exchange reserves cut the amount of XRP available for sale. But he added that lower reserves alone are not a guarantee of a bullish signal.
According to the analyst, XRP’s long-term price direction will still depend on spot demand, derivatives activity, liquidity conditions, and broader market sentiment.
XRP Derivatives Market
A separate analysis from CryptoQuant Arab Chain reviewed Binance’s XRP Volume Imbalance indicator, which measures the relationship between perpetual futures and spot trading volumes.
The latest reading shows the indicator at approximately 0.51, while the 30-day Z-Score stands near 0.17. While perpetual futures dominate XRP trading activity, both metrics remain within normal historical ranges.
During XRP’s price recoveries in April and May, perpetual trading volumes surged and widened the gap between derivatives and spot markets. As prices pulled back and speculative activity cooled, that imbalance gradually normalized.
The Z-Score has also returned to neutral territory. The data reveal that derivatives is the preferred trading venue for XRP. However, current activity does not indicate excessive speculation or heightened risk of large liquidation cascades.
XRP ETFs Outperform Bitcoin and Ethereum Funds
Crypto ETF flows showed a different picture on June 24. According to data shared by market participants, spot XRP ETFs attracted net inflows of $2.05 million.
By comparison, Bitcoin spot ETFs recorded net outflows of $469.08 million, while Ethereum spot ETFs saw $30.24 million in net outflows.
The figures imply XRP products are attracting fresh capital as investors cut exposure to Bitcoin and Ethereum funds.
Analysts Split on XRP Next Move
The reserve decline and ETF inflows come as XRP trades near $1.08, up roughly 8% over the past week.
Crypto analyst Ali Martinez recently highlighted potential support levels at $0.70, $0.32, and $0.15. He asked investors which levels they would consider attractive for accumulation if XRP moved lower.
Meanwhile, XRPL developer Bird argued that a broader altcoin season may be forming.
The developer pointed to the TOTAL2/BTC chart, which tracks altcoin market capitalization excluding Bitcoin relative to Bitcoin itself. According to Bird, previous breakouts in this metric coincided with major XRP rallies in 2017 and 2020-2021.
Bird noted that XRP has already shown considerable strength during the current market cycle despite the absence of a full-scale altcoin rally.
The developer believes improving chart structure in TOTAL2/BTC, weakening Bitcoin dominance, and signs of bottoming altcoin prices could support a broader altcoin surge in the weeks ahead.
Based on that outlook, Bird projected a long-term XRP price target of $27 if a full altcoin season develops. However, the forecast remains speculative.
Related: XRP Price: When Could XRP Realistically Reach $5? Analysts Weigh the Odds
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