Ripple released 1 billion XRP from escrow in early September, subsequently locking 700 million back into new escrow accounts. The remaining 300 million XRP, valued at approximately $422 million, currently sit outside these locks in Ripple-labeled wallets.
Market liquidity remains constrained, as buy orders near the current price total only $108.2 million. This means the available supply of 300 million XRP is worth nearly four times the current market absorption capacity.
On-chain data shows that the 1-2 year holding band for XRP increased from 17.3% to 18.2% of the total supply since late August. Meanwhile, daily trading volume has declined to roughly 27.6 million XRP.
Technical indicators show the 20-day exponential moving average at $1.3516, nearing the 200-day average of $1.3540. Despite a 42.4% gain over the past 21 sessions, XRP has underperformed against Bitcoin and Ethereum in the last 14 days.
Futures market data reveals a long-to-short ratio of 2.86 for large traders compared to 2.46 for retail. However, when weighted by position size, the ratio drops to 2.09, indicating that large accounts are maintaining smaller long positions while holding larger shorts.
XRP currently trades at $1.4079. Analysts identify $1.4785 as a key resistance level for further recovery, while a daily close below $1.3092 would invalidate the current bullish setup.
