When evaluating the price trend of Ripple (XRP), the market often overemphasizes the price itself while overlooking a more forward-looking indicator—the XRP Rich List and its underlying ownership structure. From on-chain distribution data, there is a significant gap between XRP’s nominal circulating supply and the truly tradable supply, and this gap is profoundly affecting market supply and demand dynamics.
Firstly, XRP has recently experienced a notable correction, with the price dropping from a high of approximately $3.66 to around $1.85, a decline of nearly 50%. During the price decline, inflows of XRP into mainstream crypto exchanges increased significantly, with daily transfer volumes reaching between 35 million and 116 million tokens, indicating rising short-term selling pressure. However, at the same time, the total amount of XRP held by exchanges has continued to decrease, now approaching 1.5 billion tokens, reflecting that, in the long term, the available trading chips are diminishing.
More importantly, the ownership structure of XRP warrants attention. Data shows that over 6 million wallets hold 500 XRP or less, most of which belong to retail investors. The actual control of large supplies resides with a limited number of high-net-worth addresses, known as the XRP Rich List wallets. This means that although the total supply of XRP is large, the concentration is high, and the true liquidity is far lower than surface data suggests.
Additionally, XRP holdings and usage are subject to multiple protocol-level restrictions. Some tokens are locked due to account reserve requirements, network operational mechanisms, or functional purposes, preventing free circulation. This further compresses the effective supply in the market. Meanwhile, the entry cost for XRP has risen significantly; currently, purchasing 1,000 XRP costs about $1,750, compared to roughly $500 over a year ago, limiting retail investors’ ability to add positions during the correction.
Overall, limited holdings in small wallets, decreasing freely tradable XRP, and large supplies controlled by wealthy addresses are creating a potential supply-demand gap. Under this structure, once selling pressure eases and demand marginally rebounds, the XRP market could quickly shift from loose to tight. This is why, compared to short-term price fluctuations, the XRP Rich List and on-chain ownership distribution often reveal more about its long-term trend and potential turning points.
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
XRP Golden Cross Signals Strength as Price Diverges Below $1.40
XRP exhibits a golden cross on a four-hour chart but faces short-term price declines, with resistance at $1.40 capping gains. Despite weakened trading volume and broader market pressure, strong institutional demand supports its long-term outlook.
CryptoNewsLand1h ago
Evernorth moves forward with an XRP treasury listing, filing merger documents with the SEC
Evernorth is advancing a merger plan with Armada Acquisition Corp II. After the merger, it will be listed on the Nasdaq under the ticker symbol XRPN, with XRP as its core asset. This move not only enables institutional investors to gain indirect exposure to XRP, but also is expected to reduce circulating market supply, enhance recognition of XRP’s value, and promote the integration of traditional finance with digital assets.
MarketWhisper3h ago
XRP Quantum Risk Exposure Seen as Limited, With 0.03% of Supply Affected
A recent report indicates that only 0.03% of XRP's total supply is at risk from quantum computing, as most wallets are active and can manage security updates. The threat remains largely strategic rather than urgent, with a focus on proactive mitigations.
CryptoNewsFlash8h ago
