200 Million XRP Withdrawn from Binance: An Indicator of Market Confidence or Just Noise?

XRP holders have recently moved approximately 200 million tokens off the Binance exchange in the last ten days, as noted by CryptoQuant contributor Darkfost.

This withdrawal coincides with the Ripple token being traded at 27% less than its value from a month prior, suggesting that some investors view current prices as a buying opportunity rather than a time to sell.

Shift in Investor Strategy

Data originating from Darkfost indicates a continuous decline in XRP balances on Binance, which is recognized as the largest cryptocurrency exchange in terms of trading volume. The XRP supply ratio on the exchange has dropped from 0.027 to 0.025 over the past ten days, corresponding to the significant outflow of around 200 million tokens from Binance.

Typically, such withdrawals from exchanges lessen immediate selling pressure and signal longer-term holding strategies, as tokens transitioned to personal custody become less available for rapid trading.

“This dynamic, therefore, suggests that some investors consider current price levels to be attractive from an accumulation standpoint,” Darkfost concluded.

While some of the movements might reflect internal reallocations by the exchange, Binance usually makes its custody addresses public, enabling analysts to differentiate between operational changes and genuine user withdrawals.

The timing of these withdrawals also occurs during a challenging period for XRP holders. The asset has seen a 40% decline in value since the beginning of the year, recently touching a 15-month low around the $1.00 mark.

At present, XRP is trading near $1.42, having dropped by 4.5% in the last 24 hours and 27% over the month, according to CoinGecko. Over the past year, XRP has fallen by more than 44% from its peak of $3.65 in July 2025.

Diverging Market Sentiment

Despite this price pressure, XRP continues to engage interest from investors and analysts. Grayscale recently identified it as the second-most discussed asset in its community, right after Bitcoin (BTC).

Rayhaneh Sharif-Askary, head of product and research at Grayscale, mentioned during Ripple Community Day that clients often inquire about XRP and associated products related to the Ripple ecosystem.

Moreover, a recent report from CoinShares revealed that XRP-related funds attracted about $33 million in inflows during a time when other major crypto investment products faced significant outflows.

Nevertheless, market observers and traditional financial institutions have moderated their expectations regarding XRP for the year. Standard Chartered, for example, notably reduced its year-end XRP price target by 65%, revising its forecast from $8.00 to $2.80 due to stiff near-term challenges in the cryptocurrency landscape.