XRP sees a decrease in institutional demand during May

crypthub

2 days ago

Decline in Institutional Demand

Institutional demand for XRP saw a noticeable decline during May. On-chain tracking data showed the accumulation model on Binance slipping back below zero. This decline signals that strong "whale" demand has softened, marking the end of positive accumulation seen in April. The index remaining near neutral suggests caution rather than a widespread institutional exit.

Large Holder Distribution

Despite the slowdown in accumulated demand, large holders have been highly active. Between May 1 and May 15, these wallets withdrew massive amounts of XRP. Specifically, nearly 403 million XRP, valued at over $548 million, left the Binance exchange. This physical distribution contributes to the overall shift in market sentiment.

Bearish Price Outlook

The token's current price action reflects this shift toward bearish sentiment. XRP has struggled to rally past the critical supply level around $1.50. Over the past 30 days, the altcoin has subsequently dropped by more than 3%. Continued large-scale distribution may unfortunately lead to further price sell-offs.