XRP Before the Federal Reserve's interest rate decision on October 28, there were potential bullish signals in exchange activities. Withdrawal transactions are approaching their August highs, while the proportion of deposits is near previous lows, indicating that the proportion of withdrawals in exchange transactions is on the rise.
XRP Withdrawals Approach August Highs, Exchange Recharges Decline
The trading structure of XRP on exchanges is shifting towards withdrawals, which is a potentially positive sign for its supply dynamics. On October 25th, on Binance, withdrawals accounted for 55.75% of the total transactions for XRP, approaching the peak of 56.75% set on August 18th. When calculating across all centralized exchanges, the proportion of withdrawals rose to 54.85%, close to the previous high of 55.4%.
At the same time, Binance's recharge proportion dropped to 44.25%, approaching the low of 43.25% in August. Among all centralized exchanges, the recharge proportion was 45.15%, slightly higher than the previous low of 44.5%. Such a change indicates that the proportion of XRP in exchange transactions is expanding. If this trend continues, and at the same time the exchange balance decreases, it may mean that there is less XRP available for immediate use in transactions on centralized platforms.
XRP Major Account Promotion Enhanced, Binance Price Spread Rises to 49.5%
Another change is that the price difference between large traders and retail investors on Binance has further widened compared to the broader centralized exchange market. On October 26th, this indicator on Binance rose to 49.5%, while for the entire centralized exchange market it was 29.7%. The difference of 19.8 percentage points indicates that withdrawal activities related to large traders on Binance are relatively more concentrated.
On July 28th, this gap was much smaller; Binance had a figure of 35.5%, while the broader exchange market was at 33%, with a difference of only 2.5 percentage points. Considering the trading structure that is primarily focused on withdrawals, these data provide a potentially constructive signal for the market structure of XRP. If the trend of net outflows from exchanges continues, and at the same time spot demand increases, this judgment will be further supported.
The Fed's decision may become the next catalyst for XRP.
The Federal Reserve's meeting on October 27-28 is also an important event for the cryptocurrency market. Investors are paying attention to the interest rate decisions and guidance from policymakers in order to find clues regarding the financial environment and the demand for risk-sensitive assets.
As the proportion of withdrawals approaches the high point from August, the upcoming policy statement has become a timely catalyst worthy of attention. Traders will use this to determine whether the constantly changing dynamics of the exchange XRP can be transformed into stronger buying momentum. If these trends continue, accompanied by sustained net outflows, it may reinforce the judgment of a more favorable supply environment. If spot demand recovers after the Federal Reserve's decision, it could also further improve the prospects for a recovery in the price of XRP.
