XRP ETF's 746 Million XRP Concentration Signals Major Market Shift

Within just 50 days, the XRP ETF has pulled in over $1 billion in capital, with a remarkable consistency—only a single day saw zero inflows during this period. The concentrated position now holds 746 million XRP, representing 1.14% of the current circulating supply of approximately 60.7 billion tokens.

Capital Inflow Momentum Accelerates

The daily average inflow of $27.7 million paints a clear picture of sustained investor interest. If this trajectory continues unchanged, projections suggest the ETF could accumulate $5 billion in assets by mid-2026, which would mean locking up roughly 2.6 billion XRP—expanding the concentrated holdings to approximately 4% of total circulating supply.

Exchange Reserves Under Pressure

Beyond the ETF itself, broader market dynamics reveal something equally significant: exchange balances are projected to decline by 58% through 2025. This combination of ETF concentration and reduced exchange liquidity creates a tightening supply environment, potentially reshaping price discovery mechanisms across markets.

What This Means for XRP Holders

The convergence of institutional ETF inflows and shrinking exchange reserves suggests a fundamental shift in XRP’s market structure. As 746 million tokens move into long-term institutional holdings, the floating supply available for trading diminishes, which typically precedes periods of increased price volatility and potential upside pressure from reduced sell-side liquidity.