Despite a lovely (yet trimmed) patch of green ETF inflows, Ripple’s XRP is moving against the grain.
Key cohorts are cutting down exposure, and Open Interest (OI) is in freefall. This change in tone may be one that is worth watching, before the next move unfolds.
ETFs calm down
After strong early inflows that pushed Total Net Assets to around $1.24 billion, recent data showed that the pace was slowing. Daily inflows have tapered, with several sessions barely registering new capital.
While price has held, accumulation has clearly hit the brakes.
Source: SoSoValue
Assets remain elevated, so it’s not an exit. However, it does mean that the initial wave of ETF-driven demand is fading.
XRP’s price hadn’t changed much; institutional buying was happening in quiet. At the time, whale wallets were rebuilding exposure and helping stabilize price.
What’s changed now is that this support is thinning.
LTHs are letting go
Glassnode’s HODL Waves showed that wallets holding XRP for 2-3 years (typically considered those that stick) have reduced their share of supply.
This cohort fell from 14.26% in late November to around 5.66% by late December, a big drawdown in just one month. That kind of exit is LTHs taking profits or stepping aside.
Source: Glassnode
When steady holders leave alongside fading inflows, it weakens structural support. This leaves price more exposed to impulse changes.
Derivatives step back
XRP’s OI on Binance has dropped to around $450 million, its lowest level since November 2024. That’s a big decline from earlier peaks, so there’s widespread position closures – especially from leveraged longs.
Source: CryptoQuant
When OI falls this quickly, it usually means traders are stepping aside rather than staying for potential surges. Lesser leverage means less speculation, and in this case, it further shows that confidence is thinning.
Until participation rebuilds, price action may remain fragile and reactive.
Final Thoughts
- XRP is losing the structural support that once held price steady.
- Unless demand returns, XRP’s next move may be driven by a lack of confidence.
