Ripple (XRP) Holds Key Support as Supply Reduction Sparks Optimism for 2026 Recovery
Ripple’s XRP continues to demonstrate resilience, maintaining support above a critical demand zone that has persisted throughout 2025. Recent data highlights a significant decline in the token’s supply held on exchanges, fueling speculation about a potential bullish turnaround as the cryptocurrency approaches the new year. With supply tight and accumulation rising, market analysts are cautiously optimistic about XRP’s prospects heading into 2026.
Key Takeaways
Supply of XRP on exchanges has plummeted to its lowest levels in eight years, indicating diminished selling pressure.
Recent exchange outflows suggest strong accumulation by large holders moving into cold storage or investment products.
Support remains firm above $1.78, with historical recoveries often preceded by holding this level.
Market sentiment hints at a possible structural shift towards institutional acceptance in the near term.
Supply on Exchanges Dips to Year-High Lows
According to data from Glassnode, XRP’s supply held on exchanges has sharply declined over the past 60 days, reaching levels last seen in August 2018. The supply shrank by approximately 2.16 billion tokens, from 3.76 billion to 1.6 billion. This decrease reflects waning selling interest, with investors seemingly hoarding tokens in anticipation of future gains.
XRP reserve on exchanges. Source: Glassnode
Market analysts emphasize that the declining exchange balances, coupled with record outflows, are signs of accumulating interest from large investors. Data shows that record net outflows, totaling over 1.4 billion XRP on October 19, mark the largest withdrawal in the asset’s history, signifying increasing buy-side activity.
“Supply is tightening, with about 1.5 billion XRP left on exchanges,”
noted analyst Levi Rietveld, adding, “Bullish, grab yours now!”
Such movements typically indicate institutional interest, with tokens transferred into cold storage or investment vehicles like ETFs. Traders suggest that as liquidity continues to restrict, XRP could establish a more robust foundation for future price appreciation, potentially transforming it into an institutional-grade asset by 2026.
Strong Support at $1.78 Outlined
The recent downturn in XRP’s price was halted by resilient demand between $1.60 and $1.84—a zone that has provided consistent support throughout 2025. Maintaining above this level has historically led to price recoveries and a potential breakout scenario. The most significant support lies near $1.78, where approximately 1.87 billion tokens were originally acquired at this price level, according to Glassnode’s UTXO realized price distribution.
XRP: UTXO realized price distribution. Source: Glassnode
Failure to hold this critical support could diminish prospects for a 2026 recovery. However, a bounce from this zone might signal a triple-bottom breakout, with targets near $3.79, according to technical analysts. A break above the downtrend channel would confirm a bullish reversal, yet some experts see XRP likely to remain range-bound until renewed bullish catalysts emerge.
Source: VipRoseTr
Overall, XRP’s technical landscape points to a cautiously optimistic outlook, contingent upon its ability to sustain key support levels and actualize the current accumulation trends into sustainable price movement as the market enters 2026.
This article was originally published as Is This the Bullish Signal for a 2026 Market Rally? on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Bitmine advances to the NYSE main board! Tom Lee: U.S. stocks may have hit bottom, and selling pressure on Ether could ease
Bitmine has officially moved from the U.S. segment of the New York Stock Exchange to the main board, marking an important milestone for the company. Although its share price has fallen sharply, it has still increased the share repurchase plan limit to $4 billion. The company holds a large amount of Ether, and it expects that a rebound in the crypto market will help improve its assets and share price performance.
CryptoCity1h ago
Bitmine Upgrades to the NYSE Main Board! Tom Lee: US stocks may have bottomed out, and selling pressure on Ether could ease
Bitmine has officially moved from the New York Stock Exchange U.S. board to the main board, marking a major milestone for the company. Despite a sharp drop in the stock price, it has still increased the share repurchase plan to $4.0 billion. The company holds a large amount of Ethereum, and expects that a rebound in the crypto market will help strengthen its assets and stock price performance.
CryptoCity5h ago
RAVE’s hype surge triggers a flood of copycat coin mania, as FF and INX expose the “pump-and-dump” scheme
Recently, altcoins represented by RAVE have sparked a fierce investment craze, but some old star projects like FF and INX have used this wave of hype to carry out “pump-and-dump” operations—rapidly driving up coin prices to lure retail investors to buy, and then dumping them heavily, causing the price to plunge rapidly. Such behavior not only exposes the project team’s funding difficulties, but also damages investors’ trust. Investors need to stay alert to signals like abnormal short-term surges in order to avoid the risk of being manipulated by the market.
MarketWhisper5h ago
Bitmine gets promoted to the NYSE main board! Tom Lee: US stocks may have bottomed out, and sell pressure on Ether could ease
Bitmine has officially moved from the NYSE American board to the main board, marking an important milestone for the company. Despite the sharp decline in its share price, it has still increased the share repurchase plan amount to $4 billion. The company holds a large amount of Ethereum, and it expects that a rebound in the crypto market will help boost its assets and share price performance.
CryptoCity8h ago
Why Is Bitcoin Up Today? Hormuz Blockade Triggers Short Squeeze and a BTC Test of $75k
On April 13, Bitcoin rose from its early-session low of 70,741 to trade as high as $74,900 during the session, approaching the $75,000 level. The main drivers came from two directions: after Trump ordered the blockade of the Strait of Hormuz, traders began to view Bitcoin as a geopolitical hedge asset; and a massive net short position that had been building as funding rates stayed persistently negative was met with liquidation, triggering a chain of liquidations totaling millions of dollars near the $70,000 support level.
MarketWhisper10h ago
Bitmine gets promoted to the NYSE main board! Tom Lee: U.S. stocks may have bottomed out, and Ether’s selling pressure may ease
Bitmine has officially moved from the NYSE American board to the main board in the United States, marking an important milestone for the company. Despite a sharp drop in its stock price, it has still increased its share repurchase authorization to $4.0 billion. The company holds a large amount of Ether, and it predicts that a rebound in the crypto market will help boost its assets and stock price performance.
CryptoCity11h ago
