XRP is facing a notable supply squeeze on Binance as CryptoQuant's XRP Scarcity Index climbed to approximately 2.1, its highest reading since 2022. The metric had spent September and October below zero, signaling that the pool of XRP immediately available for trading has thinned. CryptoQuant contributor Arab Chain noted that the gauge indicates “growing scarcity of ripple:native on the exchange and a decline in the amount of supply available for trading compared with previous periods.”
At the same time, Binance’s actual XRP reserves moved sharply higher. According to CryptoQuant contributor Amr Taha, Binance’s XRP holdings rose from 2.35 billion tokens on November 3 to 2.63 billion on November 5, a jump of about 280 million tokens in two days. The increase followed the October 29 hack that drained 233.46 million XRP from Binance within five minutes. By Monday, the stolen coins had been split across six new wallets. Net flows from large transfers swung from minus 226 million XRP on October 29 to plus 273 million on November 4, which Taha linked to Binance restoring its reserves after the theft. CryptoQuant has not confirmed where the new coins came from.
XRP traded at $1.3025 on Binance at 12:55 UTC on November 5, up 2% over 24 hours. On the weekly chart, XRP remains in a squeeze: it has posted six consecutive lower weekly highs since late September, and it has closed below its 50-week EMA for 52 straight weeks. Analysts are watching whether a weekly close above the 200-week EMA near $1.3704 could break the lower-high streak, with the 50-week EMA at $1.4838 serving as the next major test. A weekly close below $1.2002 could open the path toward the August low near $0.9862.
