XRP (XRP) held above a key demand zone that has supported its price throughout 2025. Will holding this level and declining equilibrium in stock markets trigger the beginning of a sustained recovery in 2026?
Key Takeaways:
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XRP supply on exchanges has fallen to an eight-year low, indicating reduced selling pressure.
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XRP price bulls want to ascertain strong support at $1.78 for the subsequent increase.
XRP supply on exchanges falls to its lowest level in seven years
As Cointelegraph reported, there was a pointy decline in XRP supply on exchanges over the past 60 days, in accordance with data from Glassnode.
The XRP balance on exchanges fell by 2.16 billion tokens to 1.6 billion on Tuesday, from 3.76 billion on October 8, a level last seen in August 2018.
XRP reserve on exchanges. Source: Glassnode
A declining exchange balance indicates an absence of intention from holders to sell, reinforcing the upside potential for XRP.
“XRP supply is becoming tighter with about 1.5 billion left on exchanges,” trader and analyst LeviRietveld said in a Monday post on X, adding:
“Bullish, grab yours now!”
The sharp decline coincided precisely with record outflows on exchanges, because the XRP net position change between exchanges fell by 1.4 billion XRP on October 19, marking the most important increase in history.
XRP: Change within the exchange's net position. Source: Glassnode
Such outflows typically indicate heavy accumulation by large holders moving tokens into cold storage or investment products, reducing immediate sell-side pressure.
“ETFs are draining XRP from exchanges and tightening liquidity,” pseudonymous trader Skipper said in a Tuesday evaluation on X, adding that the altcoin could solidify its position as an institutional asset in 2026.
The trader added:
“As liquidity becomes tighter, XRP's price discovery is fundamentally changing. XRP is now entering a more structural phase.”
XRP is sitting on strong support above $1.78
XRP's recent decline was halted by a congestion of buyers in a key demand zone between $1.60 and $1.84, supporting the worth through 2025.
Holding above this support level was previously preceded by significant rallies in XRP price, as shown within the chart below.
XRP/USD each day chart. Source: Cointelegraph/TradingView
Glassnode's Realized UTXO Price Distribution (URPD), which shows the costs at which the present supply was created, shows that $1.78 is probably the most significant support for XRP, where investors have acquired 1.87 billion tokens.
XRP: UTXO realized price distribution. Source: Glassnode
There isn’t any significant support below this level, and the lack of this mark dampens any hopes of a recovery in XRP price in 2026.
On the opposite hand, a rebound from this zone could confirm a triple low break on the weekly time-frame with a goal of $3.79, in accordance with analysts VipRoseTr.
“A breakout of the descending trend channel signals a possible bullish reversal.” 
Source: VipRoseTr
As Cointelegraph reported, XRP's price could remain rangebound through 2026, with analysts saying a stronger uptrend will likely rely on latest bullish catalysts emerging later within the cycle.
This article doesn’t contain any investment advice or recommendations. Every investment and trading activity involves risks and readers should conduct their very own research when making their decision. While we attempt to supply accurate and up-to-date information, Cointelegraph doesn’t guarantee the accuracy, completeness or reliability of the knowledge in this text. This article may contain forward-looking statements which can be subject to risks and uncertainties. Cointelegraph won’t be responsible for any loss or damage arising out of your reliance on this information.
This article doesn’t contain any investment advice or recommendations. Every investment and trading activity involves risks and readers should conduct their very own research when making their decision. While we attempt to supply accurate and up-to-date information, Cointelegraph doesn’t guarantee the accuracy, completeness or reliability of the knowledge in this text. This article may contain forward-looking statements which can be subject to risks and uncertainties. Cointelegraph won’t be responsible for any loss or damage arising out of your reliance on this information.
