Binance’s XRP reserves have declined to their lowest level since February, even as the token shows early signs of stabilizing after weeks of downward pressure.
According to on chain data, the exchange now holds around 2.61 billion XRP, with reserves remaining near that level since the beginning of July. At the same time, XRP has recovered modestly, gaining more than 3% over the past 24 hours after previously falling toward the $1.06 mark.
Exchange Balances Continue to Decline
CryptoQuant contributor Arab Chain noted that Binance has seen very few XRP inflows in recent months, leaving its reserves near February’s lows rather than replenishing them.
A decline in exchange balances is generally viewed as a bullish indicator because it often suggests investors are moving their holdings into private wallets instead of keeping them on exchanges for potential selling.
However, that trend did not immediately translate into higher prices. Arab Chain explained that XRP continued to weaken toward $1.06 even as exchange reserves fell, indicating that broader market sentiment, liquidity conditions, and trading activity had a greater influence on price than shrinking exchange supply.
The analyst also highlighted Binance’s Cumulative Volume Delta (CVD) Confirmation Score, which combines price action with order flow data to determine whether buyers or sellers are dominating the spot market.
The current CVD reading stands at negative 6.93 million, reflecting persistent selling pressure as XRP declined from above $2 earlier this year to around $1.07.
Meanwhile, the 30 day Price CVD Confirmation Score remains near 0.84. While Arab Chain described the reading as relatively healthy, it is still not strong enough to confirm that buyers have regained control. According to the analyst, a sustained move into positive CVD territory alongside a stronger confirmation score would provide more convincing evidence of a lasting trend reversal.
Despite those signals, XRP has managed to recover modestly. At the time of writing, the cryptocurrency was trading around $1.11 after rising roughly 3.7% over the previous 24 hours, fluctuating between $1.07 and $1.12 during that period.
Even so, XRP remains down about 7% over the past month and more than 61% compared with a year ago. Daily trading volume, however, climbed 31% to approximately $1.26 billion.
Analysts Remain Split on XRP’s Next Move
Market analysts remain divided over where XRP is headed next.
Trader Diana identified the $1.08 level as a critical support zone, warning that a break below it could send the token toward the $0.90 to $0.93 range before potentially testing major support near $0.87.
Analyst CasiTrades shares a similar outlook, describing a possible decline to $0.87 as the final stage of the correction that has developed over the past year.
Others remain considerably more optimistic. Crypto Patel argues that XRP is forming a technical pattern that has historically preceded rallies exceeding 1,000%.
Meanwhile, crypto investor Celal Kucuker pointed to XRP’s 500% monthly rally two years ago as evidence that a move toward $7 by the end of the year should not be ruled out.#crypto#cryptonewshttps://coinsignals.net https://t.me/coinsignalpublic
