XRP News Today: XRP Supply Shock Claims Debunked Data Glitch Found

Recent reports suggested that $12.4 billion worth of XRP had suddenly disappeared from major crypto exchanges like Binance and Upbit, causing a wave of excitement within the XRP community. This supposed “supply shock” led to widespread speculation and bullish predictions, with many anticipating a significant price rally. However, the facts indicate a different narrative, one rooted in data errors rather than actual liquidity shifts.

The speculation began when blockchain analytics platform CryptoQuant flagged what appeared to be massive XRP outflows from centralized exchanges. The data showed a sharp decline in XRP reserves, suggesting billions of tokens had been withdrawn in a short period. This triggered widespread speculation that large investors were accumulating XRP and moving funds to private wallets, a scenario often seen as bullish because it reduces the circulating supply on exchanges.

However, Jungle Inc Crypto News, a well-known voice in the XRP community, quickly pushed back on the claims. In a post on X, he stated that reports claiming $12.4 billion in XRP vanished from exchanges like Upbit and Binance, sparking major bullish speculation, were not supported by on-chain data. According to Jungle Inc Crypto News, there were no massive withdrawals recorded, and the situation was likely a data glitch or mislabeling by analytics platforms like CryptoQuant.

Cross-referencing on-chain data from tools like XRPScan and Ledger. Exposed reveals no matching transactions to support such a large-scale exodus of XRP. The blockchain shows no significant withdrawals from the wallets tied to Upbit or Binance. Upbit wallets still hold close to 6 billion XRP, indicating no real change in holdings. This strongly suggests that the alarm over a $12.4 billion supply shock is the result of a reporting error, likely due to mislabeling of wallets or syncing issues on the part of the analytics provider.

This isn’t the first time blockchain analytics platforms have reported questionable data. Similar incidents in the past, across various assets, have been traced back to incorrect wallet tagging, API delays, or temporary syncing problems. While these tools are invaluable, they’re not infallible, and raw blockchain data remains the ultimate source of truth.

A genuine supply shock where a significant amount of XRP leaves exchanges could indicate long-term holding by whales or institutions, potentially triggering price increases due to reduced market liquidity. But acting on inaccurate data can lead to poor decisions, especially in a market as fast-moving and sentiment-driven as crypto. Jungle Inc.’s warning serves as a crucial reminder to investors: always verify data using the XRP Ledger before jumping to conclusions. Hype without confirmation can be costly.

The reports of a $12.4 billion XRP outflow are not supported by any on-chain evidence. All indications point to a data glitch or misinterpretation, not a real supply shock. As always, diligence and verification are key.