XRP Reserves on Binance Crash to New Multi-year low – Here is What it Means

XRP reserves on Binance fell to a multi-year low, with the exchange's simple moving average balance at roughly 2.60 billion tokens as of Sunday, even as the token logged six straight weeks of bearish sentiment. The drawdown in exchange-held XRP points to tightening available supply on the world's largest crypto exchange by trading volume and users, suggesting accumulation rather than distribution despite weak price action. The divergence between negative sentiment and declining reserves matters because it can precede supply squeezes when demand returns. Traders will watch whether the reserve decline continues and whether it translates into reduced sell-side liquidity and a shift in XRP's price trend.