XRP Supply Hits 8-Year Low as Whale Accumulation Defies Market Exodus
XRP is trading at about $1.87, which is about the same as it was 24 hours ago. Its supply dynamics show that it is very strong, though.
Quick overview
- XRP is currently trading at approximately $1.87, maintaining its value over the past 24 hours while showing strong supply dynamics.
- A significant drop in XRP held on exchanges signals an accumulation phase, with balances falling to their lowest since 2018, indicating potential for a supply-shock rally.
- Investment flows into XRP have surged, with $70.2 million in new money last week, contrasting sharply with outflows from Bitcoin and Ethereum.
- Technical analysis suggests XRP is forming a triple-bottom pattern, with a breakout target of $3.79 if it maintains support above $1.78.
XRP XRP/USD is trading at about $1.87, which is about the same as it was 24 hours ago. Its supply dynamics show that it is very strong, though. Market watchers think that the digital asset has settled into a key technical zone that might affect its path through 2026. Several elements coming together signal that the groundwork is being created for a possible supply-shock rally.
XRP Exchange Supply Plummets to 2018 Levels, Signaling Accumulation Phase
The most important shift in XRP’s market structure is the huge drop in the number of tokens held on exchanges. Glassnode data shows that XRP balances on exchanges have dropped to about 1.6 billion tokens as of late December, down from 3.76 billion on October 8. This is a shocking drop of 2.16 billion tokens in less than three months. This is the lowest amount of supply on the exchange since August 2018, which is a technical setting that has historically come before big price increases.
The dip happened at the same time as record-breaking outflows from exchanges. On October 19, the net position change among exchanges fell by 1.4 billion XRP, the greatest single-day spike in the asset’s history. When there are big outflows like this, it usually means that institutional players and big holders are buying a lot of tokens and putting them in cold storage or investment vehicles instead of making them available for rapid sale.
Market expert Skipper said that new ETF products are actively taking XRP off of exchanges, which changes the way the asset’s price is discovered. As 2026 goes on, XRP will solidify its standing as an institutional-grade digital asset thanks to this tightening of supply and the increased use of XRP by institutions.
Divergent Fund Flows Reveal Shifting Investor Preferences
Bitcoin and Ethereum have had a lot of problems, but XRP has been a big winner in terms of investment flow. The most recent CoinShares Digital Asset Fund Flows report says that investment vehicles linked to XRP brought in $70.2 million in new money last week. This brings the total amount of money that has come in since the US ETF debuts in mid-October to almost $1.07 billion.
This is very different from the push on larger assets to leave. During the same time, Bitcoin-focused products saw about $443 million in redemptions, while Ethereum saw $59.5 million leave. Since the middle of October, Bitcoin has lost nearly $2.8 billion in total, while Ethereum has lost about $1.6 billion. The fact that most of these redemptions happened in the US shows that investors are deliberately changing their positions, moving money away from established assets and into choice alternatives like XRP.
XRP/USD Technical Analysis: Triple-Bottom Formation at Key Support
From a technical point of view, XRP is staying above a key demand zone between $1.60 and $1.84 that has been a reliable support level since 2025. The most important support level is $1.78, where Glassnode’s UTXO Realized Price Distribution shows that investors bought 1.87 billion tokens. This shows that a lot of people are interested in buying.
Analysts say that the current market movement has created what they call a possible triple-bottom pattern on the weekly timescale. If XRP stays above $1.78 and bounces back from this area, technical estimates say the breakout goal is $3.79, which is more than 100% higher than where it is now.
Long-term momentum indicators are showing unusual signals that support this bullish situation. The Stochastic RSI on the three-week interval has dropped to 0.00, which is the lowest level it has ever been at. This happened only once previously, at the worst of the bear market in 2022. When this indicator hit zero in the last cycle, it was followed by a long accumulation phase that set the stage for XRP’s next big rise.
Also, chart pattern research has found that the current market structure is very similar to the one from 2016 to 2017. In both times, there was a protracted ABC correction phase preceding big rallies. If this historical fractal keeps going, XRP may be close to the conclusion of its correction phase, which would set it up for the next big upward move.
XRP Price Prediction: Structural Setup Favors 2026 Recovery
It looks like XRP is set up for a big comeback in 2026 because of the way supply-side dynamics, fund flows, and technical indicators are all coming together. There is a strong case for upward potential because of the combination of exchange balances at an eight-year low, steady ETF inflows of over $1 billion, and prices staying above important support levels.
If XRP stays above $1.78 and can handle the current selling pressure, it could test resistance at $2.50–$3.00 in the first half of 2026. But if a supply shock happens as institutional demand rises and exchange balances keep falling, the triple-bottom breakout goal of $3.79 becomes more and more likely.
The main risk to this view is that it could break below the $1.78 support level. This would remove a lot of price support and could lead to a worse decline. However, because of the historically low supply of exchanges and the steady accumulation of institutional investors shown in fund flow data, it seems that downside risk is structurally restricted at current levels.
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