The XRP price has been stuck in a narrow range for the past couple of weeks. At the time of writing, it has risen by 1.86% in the last day, but it still hasn’t managed to break above the $1.60 resistance level. Despite this apparent lack of movement, a notable change is happening on Binance, the world’s largest crypto exchange by trading volume.
Related Reading: XRP’s Biggest Holders Just Stopped Sending Tokens to Exchanges: Last Time Was November 2021
Binance Whale vs Retail Spread Falls to 88%
In a QuickTake post on CryptoQuant, analyst Amr Taha shares an update on the XRP market on Binance. The key indicator here is the XRP Binance Whale vs Retail Spread. This metric measures the difference between large, whale-sized outflows and smaller, retail-sized ones on Binance. Essentially, it helps determine whether the market is being driven more by whales or by retail traders.
In the post, Taha reveals that the Whale vs Retail Spread has dropped to around 88.8%, one of its lowest levels since 2024. He notes that while the current reading is still positive, it’s a significant drop from its previous highs of about 94%.
Interestingly, periods when the spread was above 94% often saw stronger retail activity. When retail traders—one of the most reactive investor groups—increase their transactions, it usually signals growing speculative activity. Historically, this has supported bullish price behavior for XRP.
Related Reading: 14,600 Bitcoin Sold in Profit in One Day: Here Is How BTC’s Own Structure Broke It Below $80K
What the Declining Whale-Retail Spread Means for XRP Price
Taha adds that, from a market-cycle perspective, the gap between current readings and the earlier 94%+ zone is widening. This suggests that outflow patterns on Binance are moving away from what’s typically seen in retail-driven markets, especially near cycle peaks. However, this isn’t necessarily a bearish signal for XRP. It simply means the market might lose some retail speculation and the strength it often brings. So, if broader economic conditions stay stable, the XRP price might only see some mid-term weakness, not enough to trigger a full bearish cycle.
As of now, the XRP price is $1.41, up 2.28% in the last 24 hours.
Featured image from Dreamstime, chart from Tradingview.
Frequently Asked Questions
Here is a list of FAQs about the recent drop in the ratio of XRP held by big investors versus regular traders on Binance written in a natural conversational tone
BeginnerLevel Questions
1 What does big investors and regular traders mean here
Answer Big investors are entities or individuals holding a very large amount of XRP Regular traders are everyday people like you and me buying and selling smaller amounts
2 So what exactly happened with the ratio on Binance
Answer The gap between how much XRP the big investors hold compared to regular traders has shrunk dramatically Its now at its lowest point since 2024 This means the whales are holding a much smaller share of the XRP on Binance than they used to
3 Why should I care about what whales do
Answer Whales can influence the market When they sell or move large amounts it can cause the price to drop When they accumulate it can signal confidence A shrinking ratio suggests they might be selling or moving their XRP elsewhere which could be a bearish signal
4 Does this mean the price of XRP is going to crash
Answer Not necessarily Its a potential warning sign but not a guarantee Whales could be moving XRP to cold storage or to other exchanges Its one data point not a crystal ball
AdvancedLevel Questions
5 Is the drop in the ratio because whales are selling or because regular traders are buying more
Answer It could be both but historically a sharp drop in the whaletoretail ratio is more often caused by whales reducing their exchange holdings If regular traders were just buying more the total XRP on Binance would likely increase which isnt always the case
6 Could this just be whales moving XRP to decentralized wallets or other exchanges
Answer Yes absolutely Whales often move XRP off exchanges for longterm holding or to trade on decentralized platforms or other centralized exchanges with different features The movement itself isnt necessarily a sell order