XRP (CRYPTO: XRP) investors withdrew 418.5 million tokens worth nearly $540 million from Binance as XRP plunged 5% on Thursday.
This marked the largest daily outflow in nine months and pushed exchange scarcity to its highest level since 2022.
XRP Binance Scarcity Index at 2.1 is the highest reading in four years, CryptoQuant data noted on Thursday.
The index turned sharply positive after remaining negative throughout September and October 2026, signaling a decline in XRP supply available for trading on Binance.
The shift suggests fewer tokens are immediately available for sale, potentially strengthening XRP’s supply-demand dynamics if buying pressure increases.
Are XRP Whales Accumulating?
CryptoQuant verified author Darkfost highlighted outflows surpassed the 315 million XRP withdrawn on Oct. 29, the day of Binance’s hack.
He noted that the withdrawals followed the U.S. midterm elections, when the broader altcoin market added nearly $30 billion in value.
Large exchange withdrawals often suggest accumulation as investors move assets into private wallets or long-term storage.
Darkfost cautioned that some transfers could reflect internal exchange movements rather than fresh investor demand.
What’s Next for XRP?
Crypto analyst Ali Martinez sees XRP forming a potential inverse head-and-shoulders pattern, with a move toward the $1.60 neckline in focus.
A breakout above could confirm the bullish reversal and open the door to $2.10.
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