XRP is holding above a key demand zone in 2025, with a reducing balance on exchanges sparking hopes for a sustained recovery in 2026. XRP supply on exchanges has dropped to an 8-year low, with a sharp decrease in the balance on exchanges in the last 60 days. The XRP balance on exchanges fell to levels last seen in August 2018, reinforcing upside potential for XRP.

Record exchange outflows coincide with a decline in XRP net position change among exchanges, indicating accumulation by large holders. ETFs are draining XRP from exchanges, tightening liquidity, and shifting XRP’s price discovery. XRP sits on strong support above $1.78, with buyer congestion from a key demand zone stopping recent drawdowns.

Glassnode’s UTXO realized price distribution shows $1.78 as the most significant support for XRP, with no significant support below this level. A rebound from this zone could confirm a triple-bottom breakout in the weekly timeframe, targeting $3.79. XRP’s price could remain range-bound into 2026, with analysts saying a stronger uptrend depends on fresh bullish catalysts emerging later in the cycle.

Read more at CoinTelegraph: Bullish Trigger for 2026 Rally?