u.today
According to recent data shared by crypto researcher Leonidas Hadjiloizou, major cryptocurrency trading platforms have logged a net outflow of nearly 22 million $XRP in the first week of the year.
The analysis, which tracks wallets holding at least 1 million $XRP, reveals the total balance across tracked exchanges has dropped by 0.14% since December 31.
Still, the narrative of a "supply shock" might be far-fetched. $XRP frequently sees $2–$4 billion in daily trading volume. At a price of roughly $2.20, that represents roughly 1–2 billion $XRP changing hands every single day. A movement of 22 million $XRP represents an infinitesimal 1% of a single day's volume.
The 'Kimchi' drain
Still, the data is rather peculiar because it shows a significant divergence in regional behavior. The most notable drops occurred on South Korean exchanges.
Korean traders are often responsible for driving $XRP rallies, which was the case last year.
Upbit, the leading Korean exchange, recorded a decline of nearly 36 million $XRP.
The second-largest outflow comes from Bithumb, another Korean giant, with a drop of roughly 8 million $XRP.
In contrast, Binance, the world's largest exchange, actually recorded an increase in $XRP holdings over the same period. Its balances increased by nearly 28 million $XRP. Crypto.com also shows an inflow of roughly +9 million $XRP.
$XRP's plunge
In the meantime, $XRP has experienced a violent correction. The Ripple-affiliated token has plunged by more than 7% within 24 hours.
The buyers exhausted themselves right around the $2.38–$2.40 level. This, of course, has dampened hopes of a sustained rally.