It looks like troubles are not ending anytime soon for XRP bulls, as the cryptocurrency is showing signs of further downside ahead. Notably, the XRP Binance whale-retail spread has fallen to 88.8 percent, one of the lowest readings since 2024.
XRP whale-retail spreads signals more price pullback
The XRP Binance whale-retail spread 30-day moving average (MA) has sunk to its lowest level since at least 2024. The metric is still positive, implying that whale-sized outflows from Binance are still dominating retail-sized outflows from the exchange.
However, that’s not the concern. The real concern is that the reading has fallen sharply from 94 percent plus, a level consistently seen near past market highs.
To understand better, when the metric was hovering above the 94 percent mark, Binance XRP outflows were more heavily concentrated in small transaction bands. This shows a strong retail-led market structure for the digital asset.
These periods of heavily concentrated small transaction bands coincided with XRP showing strong upside behavior. In stark contrast, the current 88.8 percent reading indicates that the cryptocurrency is moving away from the aforementioned high-spread zones.
Deepening wedge between current reading and historical zone
From a market-cycle perspective, the currently falling XRP Binance whale-retail spread has another key implication – the gap between the latest reading and the historically high zone of more than 94 percent is widening.
In other words, whales still control the majority of Binance XRP outflows, albeit amidst a weakening market structure. That said, some analysts hold a more optimistic stance toward the coin.
For instance, crypto trader Javon Marks stated that on the weekly chart, the digital asset is currently trading in a descending triangle formation. A breakout from current levels could propel the cryptocurrency to beyond $15.
In addition, XRP is also re-testing a decade-long trendline, which positions it for a price target of as high as $12.
However, former Ripple CTO recently dampened XRP bulls’ excessive optimism, questioning the ambitious prediction of the coin ever reaching $10,000.