The value of XRP reserves held on exchanges has seen a sharp decline, dropping by more than $1 billion over the past month.
On November 10, 2025, the value stood at $7.03 billion, with XRP trading at $2.50. By December 10, 2025, reserve value had fallen to $5.70 billion, reflecting a $1.32 billion decrease, according to the latest on-chain data retrieved by Finbold from CryptoQuant.
This reduction represents an 18.83% drop in XRP reserves over the one-month period.
Notably, the falling reserves coincide with price movements suggesting traders are withdrawing XRP from exchanges or trimming positions. The data shows fluctuating reserve levels, with notable drops in early November, a brief recovery in late November, and a renewed plunge in early December.
This pattern may indicate that market participants are turning more cautious, possibly moving away from speculative positions or taking profits during heightened volatility.
Impact on XRP price
At the same time, the decline in exchange reserves points to reduced market liquidity, as fewer tokens remain available on exchanges. Lower liquidity typically increases an asset’s vulnerability to large price swings, potentially undermining XRP’s price stability.
Combined with softer trading prices, the shrinking reserves suggest weaker short-term demand for XRP, which may continue to pressure its valuation.
The downturn comes during a period when XRP has struggled to maintain key support levels such as $2, weighed down by broader cryptocurrency market sentiment.
This decline has persisted despite U.S. spot exchange-traded funds recording sustained inflows even under bearish market conditions.
XRP price analysis
By press time, XRP was trading at $2.08, up about 0.6% in the past 24 hours, while down roughly 5% on the week.
XRP’s price remains notably below its 50-day simple moving average (SMA) of $2.30 and 200-day SMA of $2.62, reinforcing a bearish short- to medium-term trend as the asset trades in downtrend territory without bullish crossover support.
The 14-day Relative Strength Index (RSI) stands at 47.18, a neutral reading that suggests limited immediate momentum for a reversal but potential stabilization if buying pressure pushes it toward the 50 level.
