What to Know:
- CryptoQuant data shows Binance and Upbit lost 228 million XRP, pushing exchange reserves to multi-month lows and reducing available trading liquidity.
- Binance recorded the largest reserve decline, while Upbit also reached multi-month lows, although Bithumb maintained relatively stable XRP holdings throughout.
- According to Amr Taha, declining exchange reserves alone cannot confirm accumulation, as stronger buying demand remains essential for supporting XRP’s market value.
A detailed report from CryptoQuant analyst Amr Taha has highlighted a significant shift in XRP’s exchange liquidity as reserves on Binance and Upbit dropped to multi-month lows. According to the analysis, roughly 228 million XRP have left the two exchanges since mid-May, reducing the amount of tokens immediately available for trading.
Although the outflows may indicate changing investor behavior, Taha stressed that reserve declines alone are insufficient to determine XRP’s future price direction.
Binance and Upbit Lead XRP Reserve Decline
According to Taha, Binance recorded the most significant reduction among the exchanges tracked by CryptoQuant. Its XRP reserve fell from approximately 2.78 billion XRP on May 12 to 2.61 billion XRP on July 2. The decline of nearly 170 million XRP represents more than 6% of the exchange’s holdings during the period. Consequently, Binance now holds its lowest XRP reserve since March 2026.
Upbit also recorded a notable decline despite remaining the largest XRP holder among the exchanges monitored. Its reserve decreased from about 6.515 billion XRP on May 30 to 6.457 billion XRP on July 2. That movement removed roughly 58 million XRP from the exchange and pushed its reserve to the lowest level since April 2026.
Combined, Binance and Upbit have seen approximately 228 million XRP leave their tracked wallets over recent weeks. As a result, the amount of XRP immediately available for spot trading has declined across two of the market’s largest exchanges.
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Source: CryptoQuant
However, the reserve decline has not occurred across every trading platform. Bithumb maintained a relatively stable XRP balance of 1.84 billion XRP throughout the same period.
Additionally, OKX showed little change in its reserve levels, while Bybit continued a gradual decline. Bitbank, meanwhile, recorded an increase in XRP holdings, indicating that reserve movements varied across exchanges rather than following a single market-wide trend.
What this Means
According to Taha, lower exchange reserves should not automatically be interpreted as evidence that XRP is gaining strength. Tokens may leave exchanges for several reasons, including transfers into private wallets, institutional custody solutions, or movements between trading platforms. Therefore, reserve declines alone cannot confirm long-term accumulation.
Instead, the analyst explained that the next phase will depend on whether reduced exchange balances coincide with stronger buying demand. If investors continue to purchase XRP while the available exchange supply declines, market liquidity could tighten and support price stability. On the other hand, if demand remains weak, lower reserves may have only a limited impact on XRP’s market value despite the significant outflows.
CryptoQuant’s latest data shows that Binance and Upbit have collectively lost 228 million XRP from their exchange reserves since mid-May. While the trend reflects declining exchange liquidity on two major trading platforms, XRP’s market value will ultimately depend on whether sustained demand follows the continued reduction in available supply.
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