The cryptocurrency market has seen significant turbulence in early 2025, yet XRP—Ripple Labs’ native digital asset—continues to capture the attention of long-term investors. Despite a broader market sell-off and recent price declines, on-chain data reveals a compelling trend: large volumes of XRP are moving out of exchanges. Over the past 48 hours, approximately $55 million worth of XRP has been withdrawn from centralized trading platforms, signaling growing confidence among holders.
This movement is more than just a statistical blip—it reflects a strategic accumulation pattern often observed before potential price reversals. As traders and analysts monitor XRP’s next move, the question arises: Is now the right time to buy XRP?
👉 Discover how smart money movements could signal the next major price shift for XRP.
Understanding Exchange Outflows: A Sign of Accumulation
Exchange outflows are a critical metric in crypto analytics. When large amounts of an asset leave exchange wallets, it typically indicates that investors are moving their holdings to private or cold storage—often a sign of long-term confidence.
According to data from Coinglass, XRP experienced a net outflow of $55 million in just two days. This suggests that despite short-term price volatility, many holders believe the current levels present a favorable buying opportunity. Historically, such accumulation phases have preceded strong bullish runs, especially when combined with diminishing sell pressure on exchanges.
Why does this matter?
Exchanges act as liquidity hubs. When assets remain there, they're more likely to be sold. Conversely, when coins are withdrawn, they're less likely to hit the market immediately—reducing potential downward pressure on price.
Current Price Momentum: Volatility Amid Rising Volume
At the time of writing, XRP is trading around $2.05, reflecting a decline of over 5% in the past 24 hours. On the surface, this may seem bearish. However, a closer look at trading volume tells a different story.
XRP’s 24-hour trading volume surged by 95%, indicating heightened market activity. This spike in volume during a price drop suggests strong interest—possibly from institutional or whale investors accumulating at lower levels.
High volume during drawdowns can signal distribution (selling) or accumulation (buying), depending on on-chain flows. In this case, the concurrent exchange outflows strongly support the latter interpretation: buyers are stepping in.
XRP Price Action and Key Technical Levels
Technical analysis reveals that XRP is at a pivotal juncture. The daily chart shows a bearish head and shoulders pattern, with the current price hovering near the neckline—a critical support level.
What Is the Head and Shoulders Pattern?
This classic reversal pattern consists of:
- A left shoulder (price peak),
- A higher central peak (the head),
- And a lower right shoulder.
If the price breaks below the neckline, it often triggers a bearish continuation. However, if support holds, it can lead to a bullish reversal.
Why This Level Matters
Historically, whenever XRP has approached this price zone, it has triggered strong rebounds. For example:
- In late 2023, a similar test of $1.90–$2.00 led to a 40% rally within weeks.
- In mid-2021, this range acted as a springboard for a multi-month uptrend.
The current setup suggests we may be witnessing another such inflection point.
👉 See how historical support zones are shaping today’s XRP market dynamics.
Bullish Bets Build Up: $58 Million in Long Positions
Market sentiment can also be gauged through derivatives data. Coinglass reports that traders have taken substantial positions on both sides of the market—but longs dominate.
Over the past 24 hours:
- $58.7 million in long (buy) positions were opened,
- While only $28 million in short (sell) positions were established.
The key liquidation levels are:
- $2.08 (upside resistance),
- $1.93 (major support).
If XRP holds above $1.93, the path remains open for a retest of $2.10 and potentially higher. A break below $1.93, however, could accelerate selling pressure and target **$1.20, representing a 44% downside** from current levels.
Still, the overwhelming long positioning suggests that traders anticipate a rebound rather than a collapse.
Core Keywords Driving Market Interest
To better understand search and investment trends around XRP, we’ve identified the following core keywords:
- XRP price prediction
- XRP exchange outflow
- XRP technical analysis
- Buy XRP now
- XRP whale activity
- XRP market sentiment
- XRP accumulation phase
These terms reflect strong user intent—from technical traders analyzing charts to new investors seeking entry points. Integrating them naturally into market discussions improves SEO visibility while delivering value.
Frequently Asked Questions (FAQ)
Is XRP a good buy right now?
While no investment is without risk, current indicators—such as exchange outflows and rising trading volume—suggest growing confidence among long-term holders. If historical patterns hold, this could be an attractive entry point before a potential rebound.
What does $55 million in exchange outflows mean for XRP?
Large outflows typically indicate accumulation. When investors move XRP off exchanges, they’re less likely to sell in the short term, which can reduce sell pressure and support price stability or growth.
Could XRP drop to $1.20?
Technically, yes—if the $1.93 support level breaks and bearish momentum continues. However, such a move would likely be overextended and could trigger a sharp correction due to high short positions and strong historical support nearby.
Are traders bullish or bearish on XRP?
Derivatives data shows that traders are predominantly bullish, with nearly twice as much capital in long positions compared to shorts. The market expects XRP to stabilize and potentially rise in the near term.
How reliable is the head and shoulders pattern for XRP?
This pattern has historically been reliable for XRP during major trend shifts. However, confirmation only comes after a clear break above or below the neckline. Until then, caution is advised.
What should I watch next for XRP?
Monitor:
- Whether price holds above $1.93,
- Continued exchange outflows,
- Trading volume trends,
- And any regulatory developments around Ripple Labs.
👉 Stay ahead with real-time data and tools to track XRP’s next big move.
Final Thoughts: A Make-or-Break Moment for XRP
XRP stands at a crossroads in 2025. On one hand, price declines and technical bearishness raise caution. On the other, powerful on-chain signals—like $55 million in exchange outflows and dominant long positioning—point to underlying strength.
The convergence of historical support, increased trading volume, and trader sentiment suggests that this pullback may be more of an opportunity than a threat.
For investors asking “Is it time to buy XRP?”—the data implies that strategic accumulation at current levels could be prudent, especially if key support holds.
As always, conduct thorough research and consider risk management strategies before entering any position. But one thing is clear: XRP is once again at the center of market attention—and not just for its price, but for what it reveals about investor behavior in turbulent times.