XRP Exchange Reserves Drop by $1.32 Billion as Prices Fall Below Key Averages

XRP exchange reserves have experienced a significant decline of $1.32 billion within a month, as the price dipped below critical moving averages at around $2. This situation highlights reduced liquidity and a lack of clear price trends in the market.

Key Takeaways

XRP reserves on cryptocurrency exchanges fell by over $1 billion in one month.
The reserve value dropped from $7.03 billion to $5.70 billion, indicating an 18.83% decrease.
XRP's price faced a decline but showed minor recovery during recent trading.
Lower reserve levels suggest reduced market liquidity and increased vulnerability to price fluctuations.

XRP exchange reserves fall $1.32b as price stalls near $2.

Decline in XRP Reserves

Recently, on-chain data from CryptoQuant, reported by Finbold, indicated a notable decline in XRP reserves held on exchanges. The total reserves decreased from $7.03 billion on November 10, 2025, to $5.70 billion by December 10, 2025, reflecting a loss of $1.32 billion, which is an 18.83% drop. At that time, XRP was trading at approximately $2.50.

Signs of Price Recovery

The reduction of reserves coincided with changes in price action that suggest traders either withdrew XRP from exchanges or adjusted their positions. According to the data, the reserve levels saw a significant decline in early November, experienced a brief recovery later that month, and then fell again in early December.

Analysts note that the drop in exchange reserves highlights reduced market liquidity as fewer tokens are available on exchanges. A lower liquidity scenario can make an asset more susceptible to price volatility.

Despite these fluctuations, XRP struggled to hold the $2 support level amid challenging broader cryptocurrency market conditions. This situation persisted even as U.S. spot exchange-traded funds (ETFs) continued to record inflows under a generally bearish market environment.

Current Price Conditions

As of the reporting time, XRP was trading at $2.08, reflecting a modest increase of about 0.6% over the previous day but indicating a 5% decline over the week. Notably, the asset's price remained below its 50-day simple moving average of $2.30 and its 200-day simple moving average of $2.62. This positioning indicates a bearish trend in the short to medium term, supported by technical analysis.

The 14-day Relative Strength Index (RSI) was recorded at 47.18, a neutral reading. This level indicates there is limited immediate momentum for a price reversal, though it does suggest potential stabilization could occur if buying pressure increases towards the neutral mark of 50, according to analysts' assessments.