Binance Reserve Drop Triggers Market Uncertainty for XRP

The recent drop in Binance's XRP reserves to a 3-month low has left analysts questioning the direction of the market. As of May 24, the exchange's XRP holdings stood at 2.70 billion tokens, according to Arab Chain data.

This decline in reserve suggests that fewer coins are available for immediate selling, even as spot demand remains muted across the broader XRP crypto market. Meanwhile, short sellers have reduced their bearish positions, which could lower downside pressure but does not automatically confirm a fresh rally.

TradingView charts show that XRP price has traded below its major daily moving averages, including the 20-day, 50-day, 100-day, and 200-day exponential moving averages. This structure indicates continued long-term downside pressure despite recent stabilization attempts.