XRP News Today:

Coinbase's recent reduction of its XRP holdings has sparked concerns among XRP supporters, who fear potential price manipulation by the exchange. According to data from XRPScan, Coinbase has cut its XRP reserves from over 780 million tokens to approximately 199 million in a matter of weeks, representing a 69% decrease in its holdings since the second quarter of 2025. This move has caused Coinbase to drop from the fifth-largest holder of XRP to the lower end of the top ten, raising questions about the nature of these outflows and their impact on the XRP market.

Crypto investor and analyst Stern Drew has suggested that this sharp reduction in XRP holdings is not consistent with normal selling behavior but rather indicative of a deliberate strategy to manipulate the market. Drew points out that 581 million XRP, worth nearly $300 million at current prices, was sold off, with 40% of the outflows routed through over-the-counter desks connected to New York institutions. He also notes that 72% of the selling activity occurred during low-liquidity hours—between 2 a.m. and 5 a.m. UTC—raising further questions about the exchange's intentions. Drew argues that the fragmented nature of these transactions across multiple wallets has helped mask the full scale of the movement, potentially suppressing price rallies at key resistance levels.

The implications of Coinbase's actions extend beyond the immediate price of XRP, according to Drew. He suggests that the strategy could serve to protect institutions tied to legacy systems like SWIFT from liquidity shocks, maintain Ethereum's dominance in the institutional space, and slow down XRP's growing influence in cross-border transactions. The pattern of these outflows, particularly the movement of some XRP to wallets linked to BlackRock and Hong Kong-based OTC desks, further supports the idea that the selloff was not purely organic but orchestrated.

The XRP Ledger, developed by Ripple, has long been designed with institutional users in mind, offering fast, low-cost, and compliant cross-border transactions. With the recent resolution of Ripple's legal dispute with the SEC, the path for institutional adoption of XRP appears clearer. The Trump administration's regulatory agenda is also contributing to a more favorable environment, particularly through its push for a unified regulatory framework that reduces uncertainty for institutions. This could lead to deeper liquidity, more exchange listings, and improved trading conditions for XRP.

Despite the ongoing debate over Coinbase's role in the market, the broader regulatory and institutional tailwinds for XRP remain strong. Analysts have pointed to the potential for U.S. banks to issue and manage stablecoins under the new Genius Act, which could further integrate XRP into the financial system. With its built-in compliance features and fast settlement times, the XRP Ledger is well-positioned to serve as a backbone for cross-border payments and stablecoin infrastructure.

While Coinbase's recent selloffs have raised concerns about market manipulation, the long-term fundamentals for XRP remain intact. The token's value is closely tied to the adoption of the XRP Ledger by financial institutions, and any sustained institutional interest could drive the price higher in the future. As the market digests these developments, investors will be watching closely for further signs of institutional demand and regulatory clarity that could shape the trajectory of XRP in the coming months.

Source: [1] Is XRP the Smartest Cryptocurrency to Buy With $1000 (https://www.nasdaq.com/articles/xrp-smartest-cryptocurrency-buy-1000-right-now) [2] Coinbase Wallet Shows Massive XRP Cuts, What's Going (https://bitcoinist.com/coinbase-massive-xrp-cuts/) [3] XRP Army Fears Coinbase Price Manipulation. Here's (https://timestabloid.com/xrp-army-fears-coinbase-price-manipulation-heres-what-happened/) [4] XRP Price Update: Why Analysts See Washington as the (https://coindoo.com/xrp-price-update-why-analysts-see-washington-as-the-key-catalyst/)