XRP is outperforming bitcoin and ether following signs of dip buying during recent crash.
What to know:
- XRP's price has risen 38% since lows reached during the Feb. 6 crash.The bitcoin-beating rally follows an exodus of coins from Binance, a sign of accumulation following the price crash.
Payments-focused cryptocurrency XRPXRP$1.5446is rising faster than bitcoinBTC$69,041.82and etherETH$2,009.92as investors hunt for bargains following a price crash earlier this month.
XRP's price has rallied 38% to $1.55 since hitting a low on Feb. 6, according to CoinDesk data. The price has jumped by more than 5% in the past 24 hours alone.
This performance puts it well ahead of both bitcoin and ether, which have gained roughly 15% since Feb. 6. Bitcoin and ether recently changed hands at $69,420 and $2,020, respectively.
XRP's bitcoin-beating rally tracks signs of dip-buying on Binance following the crash. CryptoQuant data indicates Binance's XRP reserves dropped by 192.37 million XRP to 2.553 billion between Feb. 7 and 9. The 7% slide marked the lowest level since January 2024, and holdings have remained stable since then.
Analysts typically associate a drop in exchange balances with investor accumulation. The logic is that investors prefer to take direct custody of coins rather than keep them on exchanges when they plan to hold them long-term.
Sudden, sharp withdrawals can reduce available supply, opening the door to a price rally. Historical trends reinforce this view. XRP rallied sharply from $0.60 to over $2.40 in the final two months of 2024 as the balance held on exchanges slid faster.
More For You
Accelerating Convergence Between Traditional and On-Chain Finance in 2026?
More For You
BlackRock's digital assets head: Leverage-driven volatility threatens bitcoin’s narrative
Rampant speculation on crypto derivatives platforms is fueling volatility and risking bitcoin’s image as a stable hedge, says BlackRock’s digital assets chief.
What to know:
- BlackRock digital-assets chief Robert Mitchnick warned that heavy use of leverage in bitcoin derivatives is undermining the cryptocurrency’s appeal as a stable institutional portfolio hedge.Mitchnick said bitcoin’s fundamentals as a scarce, decentralized monetary asset remain strong, but its trading increasingly resembles a "levered NASDAQ," raising the bar for conservative investors to adopt it.He argued that exchange-traded funds like BlackRock’s iShares Bitcoin ETF are not the main source of volatility, pointing instead to perpetual futures platforms.