XRP Balance on Binance Hits One-Year Low: What Are the Causes and Impacts?
XRP reserves on Binance hit a one-year low following the launch of U.S. XRP ETFs, signaling a shift to long-term holding.Summary
The XRP balance held on Binance dropped to a 12-month low of 2.71 billion XRP by November 27, 2025, following the launch of U.S. spot XRP ETFs around November 14. This withdrawal coincided with the ETFs, including those from Canary, Bitwise, Grayscale, and Franklin, recording nine consecutive days of positive net inflows, accumulating over $670 million in assets. Analysts interpret this decline in exchange reserves as a positive sign, suggesting XRP is moving into the hands of long-term holders rather than being available for immediate trading. CryptoQuant analyst Darfost noted that fewer tokens on trading platforms combined with growing institutional demand create a powerful setup for XRP. However, analyst Vincent Van Code cautioned that immediate sharp price increases might be tempered because ETF managers must buy from the open market, absorbing supply as Ripple unlocks tokens from its escrow, as they cannot buy directly from Ripple due to court injunctions.
(Source：BeInCrypto)