XRP Whales Dominate Outflows: Is Accumulation Phase Starting?

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<a href="https://jpyeur.com/xrp-usd/">XRP</a> Whale Outflows Hit 2024 Highs as Retail Share Falls to Multi-Year Lows

Key Takeaways:

  • Binance whale outflow dominance: 91.4%, highest since 2024.
  • Binance retail outflow dominance: 8.4%, lowest since 2024.
  • All CEX whale dominance: 90.5%, highest since 2024.
  • All CEX retail dominance: 9.3%, lowest since 2024.
  • July 2025: retail near peak dominance at XRP $3.5, followed by 61% decline..
  • Outflows do not automatically confirm accumulation.
  • XRP at $1.4255, above all three MAs, RSI 65.69.

The Signal Is Not That XRP Is Leaving Exchanges

A recent report from CryptoQuant shows that whales (large XRP holders) now control 91.4% of XRP leaving Binance, the highest percentage since the beginning of the year. At the same time, the amount of XRP leaving the exchange held by smaller, retail investors has dropped to just 8.4%, a new low for 2024. Looking at all major exchanges, whales control 90.5% of outflows, while retail investors account for only 9.3% – both figures are unusually high (and low) and represent extremes not seen in years.

It’s not just that XRP is leaving exchanges – that happens for many reasons and doesn’t necessarily mean people are buying it. What’s important is *who* is moving the XRP. Right now, almost all of the XRP leaving exchanges – 91.4% on Binance and 90.5% overall – is being moved by large holders, not everyday investors. Regular investors are barely involved in these recent outflows.

According to CryptoQuant analyst Amr Taha, the important thing isn’t *how much* XRP is moving, but *how* it’s moving. A market where large holders (whales) are moving XRP off exchanges behaves very differently than one where regular investors (retail) are. Historically, these two patterns have led to different results.

What July 2025 Looked Like and What Followed

The data from July 2025 is the most important part of this analysis. During that month, we saw a very high level of XRP being sold by individual investors – nearly the highest recorded – reaching around 2% on the chart. This happened while XRP’s price was near its highest point in the current cycle, around $3.50.

The way XRP was being traded showed a particular pattern. When the price was highest, most of the XRP leaving exchanges was bought by smaller, individual investors. This often happens when large XRP holders are selling their coins to these smaller investors, who then take their coins off exchanges, thinking they’re building up their holdings. The peak in activity from these smaller investors around $3.50 wasn’t a sign the price would go up; it actually signaled that larger holders were selling. Shortly after, the price dropped by more than 61%.

Currently, the situation with XRP is the reverse of what it was previously. XRP is trading at $1.42, which is 59% lower than its recent high of $3.50. Large holders (whales) now control the largest share of XRP since the beginning of 2024, while smaller, individual investors (retail) have the smallest share seen in the same period. The people buying XRP at $1.42 are different from those who were buying it when it was at $3.50. Back then, retail investors were the primary buyers, but now it’s the whales leading the way.

Why This Does Not Automatically Confirm Accumulation

The data has a known limitation: decreases in exchange balances don’t always mean people are buying. Large investors, often called ‘whales,’ frequently move their assets between wallets for security, to finalize private trades, manage loan collateral, or transfer funds to different platforms. While the data shows 91.4% of outflows are from these large investors, it doesn’t tell us *why* they are moving their funds – only that they are the ones doing it.

Understanding this difference is important for interpreting the data. The information strongly suggests this isn’t a typical sell-off caused by individual retail investors. They only account for a small portion (8.4%) of the XRP being moved off Binance, meaning they aren’t the main reason for the current activity. This makes the pattern we saw in July 2025 – where retail investors were buying near peak prices – unlikely to be repeating.

The data doesn’t tell us whether large whale movements of cryptocurrency are due to long-term storage, transfers between platforms, or plans to sell privately. However, it’s clear that significant players are driving the current market activity. We need more information to understand *why* these large players are acting this way.

Three MAs Below Price, RSI at 65: Technicals Match the On-Chain Reading

On May 6th, XRP was trading at $1.4255, and its price is currently above all three of its moving averages. The 50-day moving average is at $1.4075, the 100-day at $1.3999, and the 200-day at $1.3898 – all positioned below the current price, which is a positive sign. The Relative Strength Index (RSI) is at 65.69 and 61.08, indicating strong momentum but not yet overbought conditions.

The current price aligns with data from the blockchain. XRP reached a low of around $1.355 in early May, then gradually increased in value between May 2nd and 5th. Now, it’s holding steady above $1.42, with the 50-day moving average providing support. This pattern – stable prices or small increases – is common when large investors are quietly buying up an asset and building their positions.

Compared to July 2025, the current technical situation is quite different. Back then, XRP was nearing the peak of a rapid price increase, with indicators suggesting it was overbought, and most selling was coming from smaller retail investors. Now, at $1.42, XRP is recovering at a steady pace, with indicators showing it’s not overbought (at 65.69) and has potential to continue rising, and the selling pressure is coming from larger investors (‘whales’).

What the Structural Inversion Means

The market experienced a high point in July 2025 at $3.50, followed by a significant 61% drop, and is now seeing a new peak at $1.42. These two points represent opposite ends of a typical market cycle. The July 2025 peak happened when large investors were selling off their holdings, and smaller retail investors were buying near the highest prices. Now, with the current peak, the situation appears reversed: large investors are buying up available supply, while retail participation is low, suggesting a build-up phase.

The signal is confirmed when large XRP holders continue to move their coins off exchanges – over 85% of the outflow – while the price stays above $1.4075. This pattern suggests they’re accumulating XRP, not selling, as it shows consistent buying during a period of price stability.

A key sign that retail investors are regaining control of the market is their trading volume exceeding 20% again, even though the price hasn’t moved much above $1.42. If more individual investors start buying at these levels, it could change the current selling trend to resemble what we saw in July 2025, and diminish the influence of large-volume traders (often called ‘whales’).

Currently, large XRP holders (often called ‘whales’) are driving the selling, and everyday investors are less involved than they were at the beginning of 2024. This is the opposite of what happened in July 2025, when retail investors were selling heavily, which was followed by a 61% price drop. This time, the situation is reversed. While this data doesn’t predict future price movements, it does show that a different group of investors is currently leading the selling compared to before the previous price crash.

This article is for informational purposes only and shouldn’t be considered financial, investment, or trading advice. Coindoo.com doesn’t support or suggest any particular investment or cryptocurrency. Always do your own research and talk to a qualified financial advisor before investing.

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2026-05-06 10:38