XRP Exchange Balances Plummet: Is a $10 Price Surge Next for Ripple?
Ripple's XRP is flashing bullish signals as exchange reserves hit multi-year lows—fueling speculation of a major price breakout.
Supply Squeeze Accelerates
Traders are pulling XRP off exchanges at an unprecedented rate, creating one of the largest supply crunches in the token's history. When coins move from exchanges to private wallets, it typically signals long-term holding sentiment—and reduces immediate selling pressure.
The $10 Question
With available supply drying up and Ripple continuing to secure regulatory wins globally, the stage might be set for a dramatic price reappraisal. Market patterns suggest that such supply shocks often precede explosive upward moves.
Of course, in crypto, even the most promising setups can get wrecked by a well-timed Elon tweet or sudden regulatory panic—because why let fundamentals interfere with perfectly good volatility?
XRP’s supply on Coinbase has reportedly collapsed by almost 90% in recent months. On-chain data shows the exchange held close to 970 million XRP across 52 wallets in June. By mid-September, that figure dropped to about 99 million XRP spread across just six wallets.
According to an expert, this sharp reduction signals a classic supply crunch. When coins are pulled off exchanges, it usually means large holders are not planning to sell but to store, stake, or use them elsewhere. Less supply on the shelf means every new buy order can have a stronger impact on price. If demand picks up while available XRP remains scarce, a price squeeze becomes likely.
Wall Street’s Growing Interest
The liquidity crunch comes as Wall Street takes new steps toward tokenization. BlackRock, led by CEO Larry Fink, has been exploring blockchain-based ETFs and tokenized assets. The Depository Trust & Clearing Corporation (DTCC) has also been linked to potential listings of altcoin-related ETFs.
For XRP, this matters because institutional pathways are widening. A U.S. spot XRP ETF, now delayed, remains a topic of heavy speculation. If approved, it WOULD give traditional investors direct exposure and could further tighten supply.
At the same time, macro trends are supportive. The U.S. stock market has logged 18 straight weeks of more highs than lows, a streak not seen since 2021. Historically, when the Federal Reserve cuts rates near record market levels, equities and risk assets, including crypto. have traded higher 12 months later. That backdrop may be fueling recent multi-billion-dollar Bitcoin buys, which often lift the broader crypto market, including XRP.
Chart Outlook and Price Levels
Technically, XRP has broken out of a descending wedge and put in its first higher high in months. Prices are now supported around the $3 level, with the next resistance NEAR $3.35. A strong push above that zone opens the door to $4–$5, with $5 marking a key psychological barrier.
Looking further, if bullish sentiment and ETF headlines align with shrinking exchange supply, XRP could target $10 in an extended rally. That level would also invite heavy profit-taking, but the supply crunch makes higher valuations possible in a frenzy of demand.
