XRP News Today: Bitcoin Exchange Inflows Plummet 78% as Investors Hold Firm

Bitcoin (BTC) has been on a remarkable run, achieving new all-time highs (ATHs) repeatedly. Despite this surge, there has been minimal pressure from investors looking to lock in profits. This is evident in the exchange inflows for both BTC and altcoins, which have remained low. According to analysts at the market intelligence platform CryptoQuant, investors holding BTC, XRP, and ether (ETH) have largely remained on the sidelines this week, despite their holdings seeing substantial profits.

Total daily Bitcoin exchange inflows have fallen to 18,000 BTC, the lowest level since April 2015. This metric rose to 81,000 BTC in November 2024, when BTC first neared the $100,000 level. Large BTC holders are also sending fewer assets to crypto exchanges. The daily amount coming from this cohort of investors has plummeted from 62,000 BTC in November to 7,000 BTC currently. Less BTC flows from both large and small investors to exchanges, signaling less selling pressure, further implying that the market is not in overheating mode yet.

Ether is witnessing similar exchange flows as BTC. The daily inflows for this asset have plunged to their lowest since October 2024. Investors are sending 584,000 ETH to exchanges today, compared to 1.57 million in February 2025. These low inflows coincide with ether’s 87% surge since early April.

Additionally, XRP inflows to Binance have declined from the November spike of 10 billion XRP to 4 million XRP currently. At the time of the spike, there were several positive developments around the coin’s issuer, Ripple. Among them are the possible approval of the company’s stablecoin, RLUSD, and optimism surrounding an XRP-based exchange-traded fund (ETF). XRP had rallied at least 400% from $0.50 to $2.60 at the time, triggering a profit-taking frenzy among market participants. Currently, the opposite is the case. Even whales are on the sidelines following the coin’s rally above $2.90. Notably, XRP whale inflows have fallen 85% from 1.1 billion in February to 169 million today.

CryptoQuant further revealed that the lack of selling pressure can be seen in the broader altcoin market as their exchange inflows have been muted. Daily inflows to exchanges usually spike following strong rallies as traders take profits. However, the figure has fallen to 21,000 from roughly 120,000 in March and December 2024.

This subdued selling pressure is not limited to retail-sized transactions. Large-volume holders, those with 100 or more BTC, have also reduced their activity, with the amount of Bitcoin sent to exchanges by this cohort dropping from 62,000 BTC in late November to just 7,000 BTC. This further supports the notion that there is a lack of sell-side pressure in the market. The persistent drop in the Bitcoin Exchange Inflow metric indicates fading sell-side pressure from fresh capital flows, which could contribute to the continued price rally.

The steady institutional interest in Bitcoin spot Exchange Traded Funds (ETFs) could also play a role in keeping the price elevated. All 12 spot ETFs licensed in the US amassed a combined $770 million in inflow volume last week, with the uptrend continuing into this week. The cumulative total net inflow volume has crossed the $50 billion mark, with net assets averaging $139.4 billion. This institutional interest could provide a floor for Bitcoin's price, as investors continue to allocate funds to the cryptocurrency.

To gauge the potential for further Bitcoin price increases, investors should adopt a holistic approach, using critical on-chain data, fundamentals, and macro factors like inflation trends. The technical outlook for Bitcoin is also bullish, with the cryptocurrency trading above $113,400 at the time of writing. The path of least resistance appears upward, underpinned by a buy signal from the Moving Average Convergence Divergence (MACD) indicator. If the blue MACD line holds above the red signal line, traders could prefer to seek exposure, expecting an extended price discovery toward the $115,000 and $120,000 thresholds.

However, market participants should tread cautiously, aware that macroeconomic uncertainty due to tariff developments in the US could trigger fresh volatility and dampen the uptrend. Other factors that could hinder the rally include potential profit-taking and the need to collect more liquidity to fuel the next leg up. Despite these potential headwinds, the current market conditions suggest that Bitcoin's price could continue to rise, as long as selling pressure remains subdued and institutional interest stays strong.