The rise and fall of XRP reserves on Coinbase has sparked discussions in the crypto community. This article examines the dynamics of XRP reserves, reasons for changes, and their potential impact on the market.
XRP Reserves Statistics on Coinbase
In June, a member of the XRP community known as "XRPWallets" reported the presence of 52 cold Coinbase wallets containing a total of about 970,000,000 XRP. The reserves were split between 10 wallets, each holding around 26,800,000 XRP, and 42 wallets with approximately 16,800,000 XRP. By late August, Coinbase's XRP reserves had shrunk by 73%, leaving only 16 cold wallets with 16.5 million XRP each.
Reasons for Structural Changes
Changes in cold wallets have also been observed on other platforms such as BitGo and Bitstamp, where asset redistribution is taking place. According to "XRPWallets", this could indicate a restructuring of storage or regulatory readiness. Causes may range from rebalancing assets to potential client withdrawals.
Impact on the XRP Market
At the time of publication, XRP is trading close to the $2.91 mark, which has often served as a resistance level. A decrease in reserves on exchanges can be interpreted as a potential supply signal. The drop in XRP reserves on Coinbase raises questions about whether this is an indicator of tightening offerings or merely planned wallet adjustments.
The reduction of XRP reserves on Coinbase serves as an important indicator for the crypto market. Regardless of the reasons, the impact on XRP liquidity may have long-term implications.
