Recent on-chain data indicates a significant change in the XRP holdings of major cryptocurrency exchanges, most notably Coinbase. Once holding over 780 million XRP and ranking as the fifth-largest exchange holder, Coinbase has seen its balance plummet by approximately 69% in a matter of weeks, now holding roughly 200 million XRP. This massive reduction has seen the exchange drop to the tenth position among XRP holders. According to a prominent XRP community commentator, this dramatic decrease in holdings suggests a major outflow of assets, likely driven by institutional investors.
<h2>What Does the Outflow Mean for the Market?</h2>
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The substantial reduction in Coinbase's XRP reserves is a notable development. The outflow of such a large volume of <a href="https://www.cryptoknowmics.com/news/grayscales-xrp-trust-sees-significant-growth/" target="_blank" rel="noopener">XRP</a> from exchange wallets is often seen as a bullish indicator, as it suggests a decrease in potential sell-side pressure. When assets are moved off exchanges, they are typically transferred to personal or cold storage wallets for long-term holding. This action signals that investors are not looking to sell in the near term, which could help support price stability and potentially lead to an upward price trajectory. The change in holdings at other exchanges, like Upbit and Uphold, further supports the theory of a broader institutional absorption of XRP.

Major Shift in XRP Holdings at Coinbase Sparks Discussion

A significant reduction in Coinbase's XRP holdings, now at $132 million, suggests institutional interest and potential market shifts.

Major Shift in XRP Holdings at Coinbase Sparks Discussion

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