XRP Liquidity Dips to 2020 Low on Binance Amid Large Holder Withdrawals

XRP's liquidity on the Binance platform has decreased significantly, falling to its lowest level since 2020. This decline in liquidity is attributed to large holders withdrawing their XRP coins from exchange custody, which can lead to increased price volatility.

Concurrently, Binance has announced that it will be delisting nine trading pairs, including some key rivals of Shiba Inu (SHIB). The delistings are aimed at consolidating liquidity into USDT pairs, a more widely held and stable cryptocurrency.

The move is also being driven by the increasing popularity of USDT as a base currency for margin trading. To this end, decentralized exchange Hyperliquid has begun integrating USDT into its margin system, replacing its native stablecoin USDH in the process.