- XRP is seeing strong retail buying as whales stay on the sidelines, boosting small- and mid-tier wallet activity.
- Rising exchange reserves and falling futures Open Interest indicate short-term price pressure below $1.40.
Ripple (XRP) is showing strong retail interest while large investors remain cautious, raising concerns over short-term price pressure. With exchange reserves climbing and futures activity falling, XRP’s outlook appears fragile amid market uncertainty.
Retail Investors Step In as Whales Hold Back
On-chain data highlights a surge in small- and mid-tier XRP holders. Wallets holding under 100 XRP reached a record 5.66 million, while wallets with 100 to 100,000 XRP climbed to 2.01 million. Meanwhile, large wallets with over 100,000 XRP remain mostly unchanged at 32,054 after a February drop.
The trend suggests retail investors are buying the dip, while whales may be selling to take profits. This behavior could limit upside potential, as large holders typically use retail demand as exit liquidity.
XRP Deposits on Exchanges Rise
Data from CryptoQuant shows XRP reserves on exchanges, including Binance, have climbed to 2.79 billion XRP, up from 2.55 billion earlier in February. Higher reserves indicate profit-taking and could add downward pressure if selling intensifies.
Futures Market Shows Risk-Off Sentiment
XRP futures Open Interest (OI) is declining, signaling reduced investor confidence. CoinGlass reports OI dropped over 5% to $2.33 billion, down from $2.47 billion the previous day. A prolonged decrease in futures activity reflects risk-off sentiment in the broader market.
Currently trading below $1.40, XRP faces pressure from minimal whale participation, rising exchange deposits, and weak futures activity. To stabilize or recover, either retail buying must strengthen further, or large investors need to re-enter, potentially lifting XRP above the $1.40 mark.
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