At present, XRP boasts a market capitalization exceeding $US176 billion, positioning it as the fourth largest cryptocurrency globally, following Ethereum and Bitcoin. The cryptocurrency is currently trading at approximately $US2.90, significantly lower than its peak of $US3.55 reached in July 2025.
According to data from CoinMarketCap, there are 59 billion XRP in circulation out of a total fixed supply of 100 billion. Unlike Bitcoin, which is acquired through mining over time, all XRP tokens were pre-mined at the time of its launch. This distinction contributes to differing market dynamics between the two cryptocurrencies.
Speculation is growing regarding a potential XRP supply squeeze, prompted by substantial outflows of the cryptocurrency from exchanges this year. Cryptoquant, a prominent data analytics company, reported that by the end of June, around 12.4 billion XRP had transitioned off exchanges like Binance and Upbit. Such a withdrawal of XRP from exchanges typically indicates a tightening of supply, which could, in turn, exert upward pressure on prices.
Experts, however, advise caution regarding the extent of these supply concerns. Glen Goodman, author of the well-known book “The Crypto Trader,” highlights that supply issues are often overstated. He points out that an increase in prices usually leads to holders re-entering the market to cash in, quickly replenishing the supply available on exchanges. Goodman explains that it is a rapid process: “A supply squeeze on a Tuesday at 2pm can very quickly become ample supply on exchanges at 2.30pm.”
As the cryptocurrency market continues to fluctuate, investors remain watchful of XRP’s movements and the potential implications of supply changes, weighing both current trends and insights from market experts.
