- CryptoQuant said on November 5, 2026, that the XRP scarcity index on Binance had risen to about 2.1, its highest level since 2022.
- The firm said the increase points to a reduction in XRP available for trading and could affect supply and demand if buying activity rises.
- The index moved sharply into positive territory after remaining negative throughout September and October 2026.
CryptoQuant said in a November 5, 2026, post that the XRP scarcity index on Binance had surged to about 2.1, its highest level since 2022. The firm said the move points to less XRP available for trading on Binance and could affect the supply-and-demand balance if buying activity increases.
CryptoQuant attributed the analysis to @ArabxChain. “This signals growing scarcity of ripple:native on the exchange and a decline in the amount of supply available for trading compared with previous periods.”
Index reverses after two months of negative readings
According to CryptoQuant, the index remained in negative territory throughout September and October 2026 before rising quickly into strongly positive values in recent days. The increase was one of the metric’s most notable moves over the past four years.
The indicator also recorded sharp declines in previous years, repeatedly falling into negative territory in 2023 and 2024. It began recovering gradually during some periods in 2025 and 2026, before the latest increase pushed it to its highest level since 2022.
CryptoQuant said the higher index indicates a relative reduction in the amount of XRP available for trading on Binance. If the trend continues, traders may have fewer tokens available on the platform.
Large-holder activity had previously moved in the opposite direction
The latest data followed significant changes in the behavior of large XRP holders. CryptoQuant analysts recorded inflows of about 1.6 billion XRP to Binance over 30 days in September, the highest level since March 2026. The firm said the inflows indicated increased activity by large holders moving tokens onto the exchange.
That activity declined in October to levels last seen in 2021, according to CryptoQuant. XRP’s estimated leverage ratio on Binance fell 26.2%, from 0.229 in September to 0.169.
At the same time, the 90-day average outflow of funds from large XRP holders on exchanges declined to $49.7 million, its lowest level in five years.
CryptoQuant said a reduction in tradable supply could shift the supply-and-demand balance on Binance. However, the firm cautioned that a higher scarcity index alone does not guarantee an increase in XRP’s price. Any impact will depend on demand, buying intensity and further changes in liquidity.
Separately, XRP exchange-traded funds attracted $18.83 million in October.
Source: Incrypted
