XRP‘s large wallets have reached an unprecedented level of accumulation, according to recent data from on-chain analytics firm Santiment. Wallets holding at least 10 million XRP now control a staggering 46.87 billion tokens, equating to approximately 68.5% of the circulating supply. This concentration underscores the considerable influence large holders have over the digital asset’s market dynamics.
Concentration in Large Wallets Hits New High
Santiment reports this figure marks the highest level of concentration since November 2022, emphasizing a significant consolidation of XRP supply in massive crypto wallets. Renowned for its proficiency in on-chain data scrutiny, Santiment keeps a close eye on substantial wallet activities to deliver insights about market trends.
Santiment data shows wallets with at least 10 million XRP now control approximately 68.5% of the supply, totaling 46.87 billion tokens.
This development emerges despite XRP’s sluggish price movement, trading around $1.30. The trend reveals that while large holders are boosting their stakes, smaller investors exhibit a more cautious stance. Santiment suggests that persistent accumulation during stagnation could set the stage for a potential price recovery should selling pressures ease. However, it also notes that increased concentration alone doesn’t necessarily translate to immediate buying pressure.
Derivative Markets Overshadow Spot Trading
Not all of these large holdings can be attributed solely to individual investors, as some wallets might belong to exchanges or institutional custodians. Concurrently, data from CoinGlass highlights the enduring strength of speculative trading around XRP. Open interest in XRP futures stands at $2.96 billion, with the last 24 hours recording a futures trading volume of $2.22 billion compared to a significantly lower spot volume of $387.42 million.
The futures market volume surpassing the spot market by nearly sixfold indicates the sustained dominance of leverage in the XRP market.
This disparity underlines that trading activity in futures contracts outpaces that in the spot market. In simpler terms, investors employing leverage continue to exert considerable influence over XRP price movements.
Limited Liquidations Amid Strong Interest
CoinGlass also noted approximately $1.26 million worth of liquidations in XRP futures over the same period. Although this figure suggests sustained interest in the derivatives market, it represents a relatively modest fraction of the total daily trading volume observed, pointing to a constrained liquidation environment.
