I’ve been looking at $XRP exchange data today and something about the setup keeps making me think.
Exchange supply has dropped around 90%, leaving roughly 100M XRP available on trading platforms
For a market that could attract billions in capital, that’s actually a very thin liquid supply
Right now, futures-based XRP ETFs already hold about $240M, but those products don’t buy real XRP.
They only track the price using derivatives, so the underlying supply never changes.
A spot ETF would be different. Every share created would require actual XRP to be purchased and locked.
So the question I keep asking myself is simple:
What happens if institutional inflows start hitting the market while exchange liquidity is already this low?
Maybe the market absorbs it slowly. Maybe nothing dramatic happens immediately.
But historically when supply gets tight and demand suddenly increases… price usually moves faster than people expect.
Just thinking out loud here
Curious how others see this setup