XRP Records Over 400M In Binance Withdrawals Since May 3 — What’s Happening?

The XRP market has seen a notable shift in large holders’ activity. Analyst Amr Taha, in a recent CryptoQuant post, highlights the implications of this changing dynamic and how it might affect the altcoin’s price.

Large Holders Withdraw 403M XRP From Binance

In a QuickTake post on May 16, Amr Taha reveals that XRP’s whales have again initiated a wave of large-scale exchange withdrawals. Taha notes that about 403 million in XRP has left Binance, i.e., the world’s leading exchange by trading volume, since 3rd May.

This conclusion is based on data from the “[XRP] Multiple Exchanges Daily Outflow Above 1M” metric, which tracks the total daily amount of XRP withdrawn from exchanges in transactions exceeding 1 million XRP. This size filter helps identify whale- and institutional-sized outflow activity.

According to Taha, Binance has recorded near-daily XRP outflows exceeding 1 million XRP over the past two weeks. Considering these outflows were not single, isolated withdrawals; instead, they reflect the same intentional and persistent withdrawal pattern on Binance.

Historically, substantial withdrawals from centralized exchanges are often interpreted as a sign of accumulation. This is because when investors move coins off exchanges, it can signal a short-term decline in selling intent, as assets transferred to private wallets become less readily available for exchange.

Binance Withdrawal Activity Replaces Pattern Seen On Coinbase

Interestingly, Taha highlights that the recent Binance-led trend marks a shift from earlier whale activity observed on Coinbase. In the latter scenario, the analyst notes that large withdrawals occurred more on specific days, including March 27, March 30, and April 13 — periods when XRP’s price was near $1.34. 

These periods where XRP was withdrawn in large amounts on Coinbase could be attributed to Whales distributing their holdings as the price reached low zones. On the contrary, withdrawals from Binance have been consistent — however large — since May 3. 

Hence, this could be the typical scenario where Whales are indeed accumulating XRP. Nonetheless, it is worth noting that this is not a bullish signal in itself, as it could merely indicate that the selling intent among this investor class has been significantly reduced. As such, traders are advised to employ confirmations before making any financial decisions.

At the time of writing, the XRP price stands at approximately $1.43, down 4.48% from the previous day. Yet, the XRP price records a minute gain on the weekly timeframe, with data pointing to a 0.8% increase.