Alert: XRP Exchange Withdrawals Reach 5-Year High Across Top Exchanges – What is Happening?

• XRP withdrawal transactions reached five-year highs across Binance and centralized exchanges, reflecting a major shift in investor exchange behavior.
• Deposit transaction shares dropped to multi-year lows, widening the gap between deposits and withdrawals marketwide across major exchanges.
• CryptoQuant analyst Amr Taha noted the metric tracks transaction counts, not transferred XRP volume or net exchange flows.

XRP holders are withdrawing tokens from centralized exchanges at the fastest pace seen in more than five years. According to CryptoQuant analyst Amr Taha, withdrawal transaction activity across Binance and other leading exchanges has reached levels not recorded since February 2021, signaling a significant shift in exchange behavior.

XRP Withdrawal Activity Surges as Deposit Transactions Hit Multi-Year Lows

The latest seven-day data showed Binance’s XRP withdrawal transaction share climbing to 55.6%, while the combined figure across all centralized exchanges reached 54%. Both readings marked their highest levels since February 2021. Meanwhile, deposit transaction shares declined to multi-year lows, reflecting fewer XRP transfers into trading platforms.

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According to Taha, Binance’s deposit transaction share fell to 44.3%, while the aggregate figure across all centralized exchanges dropped to 45.95%. Consequently, Binance recorded an 11.3 percentage-point gap between withdrawals and deposits. Across the broader exchange market, that difference measured approximately 8.05 percentage points, confirming that the trend extended beyond a single trading venue.

Source: CryptoQuant

Moreover, Binance recorded stronger withdrawal activity than the wider market. Its withdrawal transaction share stood 1.6 percentage points above the overall exchange average. Additionally, its deposit transaction share remained roughly 1.65 percentage points below the market-wide figure, highlighting that Binance users were moving XRP off exchanges more frequently than participants elsewhere.

What Is Happening?

The accompanying CryptoQuant chart shows withdrawal and deposit transaction shares remaining relatively balanced for several years before diverging noticeably during the final weeks of July. According to Taha, withdrawal transactions accelerated while deposit activity weakened across Binance and other leading centralized exchanges, indicating a broader market shift rather than isolated platform activity.

Notably, XRP traded near $1.08 during the same period, meaning the change occurred without a major price rally. However, Taha emphasized that the metric measures the number of withdrawal and deposit transactions, not the amount of XRP transferred.

Therefore, the data cannot confirm declining exchange reserves, investor accumulation, or net capital outflows. Instead, it highlights a meaningful change in transaction behavior that should be evaluated alongside additional on-chain metrics.

Conclusion

The latest CryptoQuant data highlights one of the most significant changes in XRP exchange activity since February 2021. Withdrawal transactions now account for the largest share of exchange activity across Binance and other major trading platforms, while deposit activity has fallen to multi-year lows.

Although the trend reflects changing investor behavior, additional on-chain indicators remain necessary to determine whether it represents sustained accumulation or a broader restructuring of exchange transaction patterns.

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