On-chain data reveals a significant surge in XRP whale deposits to Binance, creating nearly $45 million in potential sell-side pressure and threatening the token's short-term price stability. According to analysis from CryptoQuant contributor Darkfost, more than 31 million XRP was transferred to Binance in a single day on February 21, 2026, with the move dominated by large holders.
The data, highlighted in a chart titled “XRP Ledger: Exchange Inflow – Value Bands – Binance,” shows the spike was led by two whale cohorts. Wallets holding between 100,000 and 1 million XRP sent 14,236,825 tokens, while wallets holding over 1 million XRP sent 14,494,865 tokens. Mid-sized wallets (10k–100k XRP) contributed an additional 2.9 million XRP, indicating the event was whale-led rather than a broad-based retail movement.
This acceleration in cumulative whale inflows has been a steady trend throughout 2026, with the pace increasing in early February compared to January. Historically, such concentrated flows to exchanges often precede short-term corrections or increased volatility. The context is critical: Bitcoin's ongoing range-bound trading offers little directional clarity for the broader market, leaving altcoins like XRP vulnerable to internal selling pressure.
Compounding the issue is a thinning liquidity cushion for XRP. Market depth in USD terms has been declining, making the market more sensitive to large moves. Simultaneously, token-side liquidity is compressing, a condition that previously preceded a breakout but now lacks the necessary demand to fuel a sustained upward move. Furthermore, interest in the XRP ETF has faded significantly, with inflows and outflows slowing since its launch, removing a potential source of institutional demand.
Following the large inflow, XRP's price, which had been sticky around $2 in 2025 and recently dipped to $1.40, fell to as low as $1.33 during early European trading. At the time of reporting, it traded at $1.3947. Analysts warn that if whale deposits persist and liquidity remains thin, XRP's recovery could be capped in the near term, as the market needs robust demand to absorb the potential $45 million sell-side overhang.
