XRP Sees $55 Million Outflow Amid 5% Price Drop, Bullish Bets at $58.7 Million

XRP, the native token of Ripple Labs, has been attracting significant attention from long-term holders despite a notable sell-off in the cryptocurrency market. On April 4, 2025, data from an on-chain analytics firm indicated that exchanges have been experiencing continuous outflows of XRP, even as its price continues to decline.

Data from Coinglass revealed that exchanges have witnessed an outflow of a significant $55 million worth of XRP tokens over the past 48 hours. This substantial outflow from exchanges suggests a sign of accumulation and raises the question of whether this is an ideal level to buy or not. At press time, XRP is trading near $2.05 and has recorded a price decline of over 5% in the past 24 hours. However, during the same period, its trading volume jumped by 95%, indicating increased market activity and explaining the asset’s outflow from exchanges.

According to expert technical analysis, the asset has reached a key level following this massive price decline, creating a make-or-break situation for XRP. The asset’s daily chart reveals that it has formed a bearish head and shoulders pattern and is currently near the neckline. However, this level is crucial due to its historical price momentum. Historically, whenever XRP reaches this level, it tends to show a price reversal or rebound, which might explain the recent outflows from exchanges. However, if the current market sentiment remains unchanged and the price continues to fall, there is a strong possibility that XRP could drop by 44% to reach the $1.20 level in the future.

Coinglass liquidation data shows that traders are currently bullish on XRP. At press time, the major liquidation levels or over-leveraged positions are at $2.08 on the upper side and $1.93 on the lower side. At these levels, traders have built $28 million and $58.70 million worth of short and long positions, respectively, over the past 24 hours. These levels indicate that bulls are currently dominating the asset and are hoping that XRP’s price will not fall below the $1.93 level in the coming days.

A significant outflow of $55 million in XRP assets from exchanges, coupled with a substantial $58.7 million bullish long bet, suggests a strong accumulation trend despite recent price declines. This movement indicates that investors are confident in the long-term potential of XRP, potentially signaling a favorable time for new investments. The outflow from exchanges typically implies that investors are moving their assets to personal wallets, which is often seen as a bullish indicator. This strategy allows investors to hold their assets securely and avoid potential liquidity risks associated with exchanges. The concurrent bullish long bet further supports this sentiment, as it suggests that market participants are optimistic about the future price movements of XRP. This combination of factors—asset outflow and bullish bets—points to a growing confidence in XRP's value proposition, making it an attractive option for investors considering entry into the market.