Whales Go Quiet: XRP Whale Activity Plunges to 2021 Levels
Here’s a fascinating market contradiction. While the XRP price faces selling pressure, dropping to a three-day low near $2.07, a powerful bullish signal is flashing beneath the surface. On-chain data reveals that XRP whale activity on the Binance exchange has plummeted to its lowest point since 2021. This means the largest holders are not sending their tokens to exchanges to sell, dramatically reducing the available supply during this dip.
According to CryptoQuant analysis, the Whale Transfer Flow metric—which tracks large deposits to exchanges—has fallen sharply to around 48-56 million XRP. Historically, when whales stop moving coins to exchanges, it indicates they are in accumulation or holding mode, not distribution. This creates a potential supply shock; with fewer coins available to buy on the open market, any surge in demand can lead to a very sharp price rebound.
Decoding the Current XRP Whale Activity
So, why is the price down if whales aren’t selling? The current drop is largely attributed to the broader market pullback, with Bitcoin and Ethereum also in the red. This shows that macro sentiment is currently overpowering XRP’s positive on-chain fundamentals. However, this divergence is often where smart money finds opportunity.
The last time XRP whale activity was this dormant was in 2021, which preceded a major price rally. The logic is simple: limited exchange supply + rising demand = explosive upward moves. While we wait for that catalyst, the lack of whale selling provides a strong underlying support floor. They are clearly not panicking at these levels.
U.S. spot XRP ETF have continued its positive net inflow for 5 straight days in arrow with $17.06M inflow on Jan. 15 .
My Thoughts
This is a classic “watch what they do, not what the price says” moment. The whales—the smartest, most informed players—are effectively telling us they see more value ahead by refusing to sell into this dip. This drastically reduces the risk of a major crash. For me, this is a strong alpha signal. Once the broader market stabilizes, XRP has the fundamental setup for a violent rebound, fueled by a lack of available supply and pent-up demand. Patience here could be rewarded handsomely.